US stocks: S&P 500 ends down; Apple dips ahead of quarterly report

The S&P 500 ended down on Monday, November 2, while Apple shares fell ahead of the company's quarterly report as investors awaited the results of the upcoming US midterm elections. Oil prices declined due to optimism surrounding a possible US-Iran peace deal, which led to a drop in longer-dated US Treasury yields. Brent crude prices also dropped as Iran expressed openness to peace talks after eight months of conflict in the Middle East, which had kept energy prices high and contributed to inflation.

Apple's stock declined following the market close as investors focused on the rising costs of memory chips. The Nasdaq fell 5.3% for the month after a sell-off on Friday due to concerns about AI infrastructure spending outpacing near-term cash generation. The S&P 500 closed at 7,541.40 points, the Nasdaq at 25,164.32 points, and the Dow Jones Industrial Average at 51,983.98 points.

Seven of the 11 S&P 500 sector indexes rose, led by consumer discretionary and materials. Seven S&P 500 companies, including Oracle, Marvell Technology, Intel, Palantir, and AMD, reported declines. Despite the recent market downturn, S&P 500 third-quarter earnings are expected to increase over 30% year-over-year, with AI companies contributing significantly to the growth.