The Nasdaq Composite reached a record high on Monday as large technology companies drove U.S. stocks higher despite Treasury yields remaining near multi-year highs.
Nvidia, Meta, Microsoft and Tesla were among the strongest contributors, while the S&P 500 also advanced.
Deals add momentum
Corporate takeover activity supported sentiment. PTC surged after Schneider Electric announced a $22.6 billion acquisition, while RXO jumped after C.H. Robinson agreed to buy the logistics company.
Investors are also positioning for third-quarter earnings, with expectations for strong profit growth among major U.S. companies.
Bond yields remain a constraint
The 10-year Treasury yield stayed above 5%, keeping pressure on rate-sensitive sectors and valuations.
Markets currently see a lower chance of a Federal Reserve rate increase in October after weaker U.S. employment data, although a later hike remains possible.
Sources: Reuters market data, Oct. 5, 2026; AP market coverage.
