Market Soars with Amazon-OpenAI Deal Amid Economic Uncertainty

Major stock indexes rose after Amazon announced a cloud-computing deal with OpenAI. Meanwhile, the dollar hit a three-month high due to mixed signals on U.S. interest rate cuts. Traders show a 70% chance of a December rate cut, down from 94%. Tariff legality discussions and earnings reports also influence markets.

Major stock indexes surged on Monday, fueled by Amazon's announcement of a multi-year cloud-computing partnership with OpenAI. This development helped lift equities, with Amazon's shares closing 4% higher. The dollar also surged to a three-month high against the euro, reflecting waning hopes for further U.S. rate cuts.

Despite the Federal Reserve's recent decision to ease rates, Chair Jerome Powell hinted that another reduction in December is uncertain. This uncertainty was exacerbated by conflicting economic forecasts from Fed officials and the ongoing U.S. government shutdown stalling official data releases.

On the trade front, the U.S. Supreme Court is assessing the legality of former President Donald Trump's tariffs. Meanwhile, technology giants such as Advanced Micro Devices, Qualcomm, Uber, and McDonald's are set to report earnings this week, providing further insights into the tech-driven market's trajectory.

(With inputs from agencies.)