U.S. stock markets experienced gains on Monday, with the Dow Jones Industrial Average rising by 1.2% to close at 48,977.18. The S&P 500 increased by 0.6% to finish at 6,902.05, while the Nasdaq Composite added 0.69%, closing at 23,395.82. A military strike by the U.S. in Venezuela over the weekend led to the ousting of President Nicolás Maduro, escalating geopolitical tensions and stirring interest in Venezuela’s oil sector. U.S. companies are preparing to invest in this sector following the political upheaval.
Chevron Corp. saw a significant rise, with its stock surging 5.1% to close at $163.85, following investor optimism regarding potential benefits from the situation in Venezuela. Its stock reached an intraday high of $165.75. In contrast, NVIDIA experienced a slight decline of 0.39%, closing at $188.12, following its recent unveiling of new AI technology for autonomous vehicles.
Novo Nordisk A/S shares climbed 5.19% to finish at $55.11, buoyed by the popularity of its Wegovy weight loss pill, which has shown effective results in the U.S. market. Zeta Global Holdings Corp. surged 8.84%, closing at $21.67, driven by speculation and enthusiasm surrounding its AI-powered marketing solutions. Exxon Mobil Corp. also gained, closing at $125.36, amid new opportunities in the oil market resulting from recent political changes in Venezuela.
Why this story matters:
- The U.S. military action in Venezuela is reshaping geopolitical dynamics and impacting global oil markets.
Key takeaway:
- Major oil companies are likely to benefit from developments in Venezuela, influencing investor decisions in the stock market.
Opposing viewpoint:
- Some analysts warn that geopolitical instability can lead to unpredictable market reactions and long-term risks for investors.
