04:55 PM EST, 11/10/2025 (MT Newswires) -- US equity indexes rose on Monday as optimism over an end to the longest-running federal government shutdown in the country's history accompanied strong gains in communication services and technology.

The Nasdaq Composite surged 2.3% to 23,527.17, with the S&P 500 up 1.5% to 6,832.43 and the Dow Jones Industrial Average 0.8% higher at 47,368.63. All but three sectors, including consumer staples, rose intraday. Communication services and technology were up more than 2.5% each.

The Global X Artificial Intelligence & Technology ETF ( AIQ ) , with net assets of $5.98 billion and investments in firms related to AI, jumped 2.8%, reflecting a return of risk appetite for areas hit last week when a valuation fright gripped Wall Street. The $386 billion Invesco QQQ Trust (QQQ), a tech-heavy exchange-traded fund offering exposure to the Magnificent-7 across technology and communication services sectors, advanced 2.2%.

Nvidia ( NVDA ) looks set to exceed its fiscal third-quarter revenue outlook by about $2 billion, in line with recent trends, and guide Q4 sales above Wall Street's estimates, UBS Securities said in a note. Shares of Nvidia ( NVDA ) jumped 6.3% intraday, the Dow's top gainer.

On the S&P 500 and the Nasdaq, the biggest outperformer was Palantir Technologies ( PLTR ) , with gains of 8.8%. Considered a benchmark for the so-called AI trade, Palantir ( PLTR ) is making a comeback after heavy selling last week when its Q3 beat-and-raise reportedly failed to justify the 85 times price-to-sales ratio.

Meanwhile, expectations grew among investors that the government shutdown was nearing its end. GOP leaders are trying to push a funding bill as quickly as possible after the Senate took a key step last night toward reopening the government, CNN reported. Senators need to agree on how long to debate before voting on the final bill, which must also bear President Donald Trump's signature.

"After just days of about a 4% reduction in flights with the FAA [Federal Aviation Authority] expected to reduce activity by 10% starting Friday, the risk of disrupting upcoming holiday travel over Thanksgiving as well as the key holiday shopping weekend, including Black Friday, appears to be enough pressure to potentially force a deal," Stifel Chief Economist Lindsey Piegza said in a note.

US Treasury yields rose, with the 10-year yield up 2.5 basis points to 4.12% and the two-year rate higher by 3.8 basis points to 3.6%. In October, Treasury Secretary Scott Bessent said that the political impasse, which began on Oct. 1, could cost the US economy up to $15 billion per week.

The first major data print post-shutdown will likely be the September employment report, Morgan Stanley said in a note. Other data on inflation and spending will likely be available in one to two weeks. The Fed will have most of the September data but limited Q4 data in time for its Dec. 10 meeting. They may have October and/or November payrolls in time, the note added.

With over 90% of the S&P 500 firms having reported Q3 results, earnings have risen more than 12% year-over-year, ahead of the FactSet consensus as of Sept. 30 of 7.7%, according to a D.A. Davidson note. The blended earnings growth estimate, which combines reported results with remaining consensus, is over 13%, a "material" increase from last week's estimate of under 11%.