US stocks end mostly higher as chipmakers rebound, Iran halts attacks against Israel

US stocks rose on Monday, as semiconductor shares rebounded from a selloff last week, while investors also monitored a fragile ceasefire in the Middle East after Iran said it had ended military operations against Israel.

The S&P 500 rose 0.3%, or 21.99 points, to end at 7,405.73, while the tech-heavy Nasdaq Composite gained 0.86%, or 220.23 points, to reach 25,929.66.

On the other hand, the Dow Jones Industrial Average fell 0.16%, or 80.77 points, to end Monday at 50,786.01.

The Volatility Index (VIX), often referred to as the market’s “fear index,” dropped 12.04% to 18.92.

Chip stocks led the recovery after steep losses on Friday. Micron Technology shares climbed 10% after falling 13% in the previous session. Nvidia and Broadcom also traded higher.

The iShares Semiconductor ETF rose 6% Monday after plunging 10% on Friday, its worst daily performance in more than six years. The Nasdaq Composite had dropped 4.2% on Friday, marking its sharpest decline since April 2025, as investors took profits in chipmakers amid concerns over stretched valuations and an uncertain economic backdrop.

The selloff also weighed on Asia-Pacific markets earlier Monday. South Korea’s Kospi fell more than 8% to close at 7,484.41, while Japan’s Nikkei 225 dropped 3.85% to 64,024.6. In Europe, the Stoxx 600 was marginally lower.

Markets also followed developments in the Middle East, where renewed attacks had raised concerns over the durability of a ceasefire. Israel said Monday it carried out a “large-scale strike on strategic defense systems” in response to Iranian attacks.

US President Donald Trump said Israel and Iran were “looking to do an immediate ceasefire,” adding that negotiations were continuing despite the attacks. He earlier called on both sides to immediately stop attacking.

Iran’s Foreign Ministry later told CNBC that the country’s military had ended operations against Israel, while warning that hostilities could resume if Israel continued attacks on Lebanon.

Oil prices came off their session highs after the remarks. The international Brent crude oil gained 1.36% to $94.3 per barrel, and West Texas Intermediate (WTI) crude was up 0.8% to around $91.2 per barrel.

Investors are also looking ahead to inflation data this week and the planned public debut of Elon Musk’s SpaceX on Friday, which is expected to be one of the largest initial public offerings in Wall Street history.

European markets

European stocks saw a mixed course, with the pan-European Stoxx Europe 600 index falling 0.15% to close at 621.73 points.

Germany’s DAX 40 dropped 0.58% to 24,616.22, France’s CAC 40 lost 0.23% to 8,199.29, and Spain's IBEX 35 fell 0.66% to end at 18,223.10.

The UK’s FTSE 100, however, rose 0.05% to close at 10,373.2, and Italy’s FTSE MIB 30 increased 0.63% to 50,208.13.