04:46 PM EST, 11/03/2025 (MT Newswires) -- US equity indexes traded mixed at Monday's close as Amazon.com's ( AMZN ) $38 billion deal with the Microsoft ( MSFT )-backed (MSFT) OpenAI helped lift the Nasdaq Composite and the S&P 500, further bolstering the so-called AI trade.

The Nasdaq rose 0.5% to 23,834.7, and the S&P 500 climbed 0.2% to 6,851.9. The Dow Jones Industrial Average, however, fell 0.5% to 47,336.7. Consumer discretionary, home to Amazon ( AMZN ), and technology led the gainers, while materials led the decliners.

Amazon's ( AMZN ) web services division reached an agreement worth $38 billion through which OpenAI can access Nvidia's ( NVDA ) graphics processing units. The online retailer's shares jumped 4%, among the top gainers on the S&P 500, the Nasdaq, and the Dow.

"We are encouraged by the implied level of demand in the coming quarters, given the pace of backlog growth and a higher capex guide for 2025," Wedbush Securities said in a note. "We think momentum will continue for the segment."

With over 63% of companies having reported, earnings have increased 11% year-over-year, ahead of the FactSet consensus as of Sept. 30 for a jump of 7.7%, according to a D.A. Davidson note late Friday. Financials and consumer discretionary led the outperformance. The blended earnings growth estimate, which combines reported results with remaining estimates, is calling for growth of more than 10.6%, up from last week's over 9%.

Palantir Technologies ( PLTR ) is among the companies reporting quarterly results after the bell on Monday. Advanced Micro Devices ( AMD ) , Qualcomm ( QCOM ) , and ARM Holdings ( ARM ) will be reporting in the days ahead this week, potentially further boosting the so-called AI trade.

Further in company news, Kimberly-Clark ( KMB ) announced it will acquire Kenvue ( KVUE ) in a cash and stock deal valuing the company at $48.70 billion on an enterprise basis. Down 15%, Kimberly-Clark ( KMB ) was the worst performer on the S&P 500. Kenvue ( KVUE ) was the second-biggest gainer in the gauge, surging 12%.

IDEXX Laboratories ( IDXX ) shares surged 15%, the top gainer on the Nasdaq and the S&P 500, after the company reported higher Q3 earnings and revenue, and raised its 2025 guidance.

Charter Communications ( CHTR ) reported Q3 earnings and revenue late Friday that fell more than forecast. Shares dropped 5%, the steepest decline on the Nasdaq.

Meanwhile, the Institute for Supply Management's US manufacturing index slid to 48.7 in October from 49.1 in September, compared with expectations for an increase to 49.5 in a survey compiled by Bloomberg.

The S&P Global US manufacturing index for October was revised upward to 52.5 from a flash reading of 52.2, compared with forecasts for no revision in a Bloomberg-compiled poll. The October index stands above the 52.0 print in September.

Most US Treasury yields rose, with the 10-year yield slightly higher at 4.11%.

The US Treasury said Monday that it expects Q4 borrowing to be $569 billion, less than the $590 billion set out in a previous statement.