AMD Stock Soars as Analyst Praises Next-Gen Server Rack Architecture

Major U.S. equities indexes pushed higher following reports that Iran is willing to return to negotiations over its nuclear program as it aims to ease hostilities with Israel.

In addition to the rapidly shifting geopolitical landscape, investors will have plenty to keep an eye on this week, including the Federal Reserve’s upcoming interest-rate decision and possible tariff developments, with markets set to take a break for Thursday’s Juneteenth holiday.

The S&P 500 added 0.9% on Monday, while the Dow 0.8%. Outperformance in the communication and technology sectors helped lift the Nasdaq, which advanced 1.5%.

Prestige beauty products maker Estée Lauder (EL) announced that Leonard Lauder, former CEO and eldest son of the company’s namesake founder, had passed away at 92. Lauder was a driving force behind the makeup giant’s global expansion.. Despite the company’s bereavement, Estée Lauder shares jumped 10.8%, logging the top daily performance in the S&P 500.

Analysts at Piper Sandler boosted their price target on Advanced Micro Devices (AMD) stock following the chipmaker’s “Advancing AI” event last week. The Piper Sandler team highlighted enthusiasm around AMD’s freshly unveiled Helios server rack architecture, which will combine the company’s next-generation AMD MI400 chips into one larger system, anticipated for release in 2026. AMD shares surged 8.8% on Monday.

MGM Resorts International (MGM) shares gained 8.1% after the casino operator and its London-listed partner, Entain, raised forecasts for BetMGM, their co-owned sports betting and iGaming platform. Shares of hotel and casino rivals Las Vegas Sands (LVS) and Wynn Resorts (WYNN) also moved higher.

Aerospace and defense stocks surged at the beginning of last week as Israel and Iran exchanged attacks. However, on Monday, Lockheed Martin (LMT) shares dropped 4%, the most of any S&P 500 stock. Shares of fellow defense contractors Northrop Grumman (NOC) and L3Harris (LHX) were down 3.7% and 3.6%, respectively.

Shares of Charter Communications (CHTR) sank 3.5% on Monday. Over the weekend, there were reports of outages for the telecom firm’s Spectrum internet and cable services in Southern California. Charter indicated that the outages were related to an act of vandalism.

Moderna (MRNA) shares were down 2.5% on Monday. Analysts expressed concerns about overall RSV vaccination rates in the U.S. and uncertainties over how Health Secretary Robert F. Kennedy Jr.’s overhaul of the Centers for Disease Control and Prevention’s vaccine advisory committee could affect future recommendations.