Stocks rose on Monday, following their best week of the year, fueled by optimism that the Federal Reserve is ready to end rate hikes. The tech-heavy Nasdaq Composite led the gains, with the S&P 500 and Dow Jones Industrial Average also rising. Last week’s strong job growth and cooled wage inflation further cemented hopes for an end to Fed interest-rate increases. However, some on Wall Street have cautioned that the optimism may be overdone, warning of potential volatility in stocks. Investors will be listening for confirmation from several Fed officials, including Chair Jerome Powell, who are scheduled to speak this week.
Meanwhile, the market is still focused on quarterly earnings reports, with Disney’s results being a highlight. In commodities, oil prices jumped after Saudi Arabia and Russia confirmed that they will continue with voluntary production cuts, leading to increases in both West Texas Intermediate and Brent crude futures.
In other news, Disney announced Monday that longtime PepsiCo executive Hugh Johnston will be its new CFO, effective December 4. Johnston, who held multiple leadership positions at PepsiCo, including CFO, for more than a decade, will bring his financial and operational expertise to Disney’s senior leadership team. The announcement comes as activist investor Nelson Peltz pushes for multiple board seats at Disney, causing the stock to hit record lows. Disney shares traded flat following the announcement.
