US OPEN: Wall Street downplays geopolitical risks; Tesla leads amid Mag7 companies.

• Widespread optimism on major US indices

• Consumer goods stocks lead gains

• Tesla outshines Mag7 stocks on robotaxi debut 

Wall Street opened a new week in the green, unbothered by the U.S. intervention in the Israel-Iran conflict. S&P500 leads gains for a moment (+0.6%), followed by Russell 2000 (+0.55%), Nasdaq (+0.5%) and DJIA (+0.35%).

The consumer goods stocks champion Monday’s trading, as they face relatively fewer geopolitical and tariff-related risks than their tech or healthcare counterparts. More-than-average optimism is also seen in the real estate sector, following the most recent economic data, pointing to an unexpected rebound of the home sales in May (+0.8% MoM vs -1.3% forecast).

The optimism is also supported by the relatively better performance of the PMIs compared to Europe. The data showed a continued growth in both services and manufacturing sectors in the U.S., though momentum slowed more than expected. Falling exports weighed on output, partially offset by inventory stockpiling due to tariff concerns. Tariffs also drove sharp price increases, especially in manufacturing. Domestic demand remained strong, supporting job creation and rising backlogs.

Volatility in S&P 500 sectors. Source: Bloomberg Finance LP

US100 (H1 timeframe)

Following a direct U.S. strike on Iran, the US100 index futures opened after the weekend with a significant gap down of around 200 points. However, the Nasdaq quickly recovered, closing the gap and surpassing the 21,845 level during the start of the European session. At the New York Stock Exchange open, the index plunged 100 points but just as quickly rebounded. The index broke above the 25-period exponential moving average (EMA), confirming its strength despite the geopolitical turbulence.

Source: xStation5

Company news:

• Tesla Motors (TSLA.US) is rising today around 7%, buoyed by Elon Musk’s stealthy Austin robotaxi debut that relied on hand-picked influencers rather than a broad public launch. While the stock popped on optimism, real-world constraints—geofenced zones, inclement-weather limits—and fierce competition suggest that scalable, revenue-generating autonomy is still a long way off.

• Fiserv (FISV.US) is up 3% after announcing plans to launch a stablecoin platform integrated with Solana and partnered with Circle and Paxos. While the initiative signals a bold move into tokenized payments and 24/7 settlement, the company faces the challenge of recovering from a 20% stock drop this year amid rising fintech competition.

• Li Auto (LI.US) is gaining over 6.8% after CEO Li Xiang announced plans to launch a new electric SUV, the i6, this September. Targeting premium crossover buyers from brands like BMW and Audi, the move boosted Li Auto’s H-shares as well, which led Hang Seng Tech Index gains with a 5.5% rise.

• Northern Trust (NTRS.US) jumped as much as 9% following reports that Bank of New York Mellon had approached the firm to discuss a potential merger. Analysts see strategic benefits for both sides, though concerns over deal price and