Stock Market Today: Dow Gains as Shutdown Looms, EA Surges on Record Buyout Deal

The U.S. stock market opened the week on a mixed but largely positive note, with the Dow Jones Industrial Average edging higher despite mounting concerns over a potential government shutdown. Investors closely monitored both Washington negotiations and corporate news, as tech and consumer stocks helped lift sentiment while tariff threats pressured furniture retailers.

Bassyonni

ago 2 hours

Stock Market Today: Dow Gains as Shutdown Looms

Dow Jones and Nasdaq End Higher Amid Political Uncertainty

The Dow Jones Industrial Average edged up 0.2% on Monday, led by strength from Nvidia (up 2.1%) and other blue-chip names like Caterpillar and Disney. Chevron (-2.5%) and Boeing (-1.9%) losses limited its gains, however.

The Nasdaq Composite index rose 0.5% on Monday, led by standout performances from Shopify and AppLovin which each gained over 6%. Morgan Stanley's bullish price target hike likely played a part in AppLovin's rally, according to analysts.

Meanwhile, the S&P 500 gained 0.3% with nine of 11 sectors posting gains; consumer discretionary and technology saw notable advancements while energy and communications saw declines.

EA Stock Soars on $55 Billion Buyout Deal

One of the day’s biggest headlines came from the gaming industry. Electronic Arts (EA) shares jumped nearly 5% after news broke that the company will be taken private in a record $55 billion all-cash leveraged buyout.

The deal is being backed by Affinity Partners, led by Jared Kushner, along with Silver Lake and Saudi Arabia’s Public Investment Fund (PIF). Under the terms, shareholders will receive $210 per share in cash.

EA, known for global franchises like Madden NFL, EA Sports FC, and Battlefield, had already rallied 15% last Friday on speculation, making this week’s announcement a major confirmation for investors.

Trump Tariff Threat Hits Furniture Stocks

Former President Donald Trump reignited trade concerns after vowing to impose new tariffs on imported furniture. He said the move would help revive North Carolina’s once-booming furniture industry.

RH (Restoration Hardware) dropped 2.3% and is down nearly 50% in 2025.
Williams-Sonoma tumbled 4.7% after falling below its 50-day moving average.
Wayfair managed a 2.7% rebound, while Ethan Allen Interiors, which produces most of its furniture in North America, inched up 0.8%.

The announcement underlined how tariff policies can quickly shift investor sentiment in consumer and retail stocks.

Carnival Shares Slide Despite Strong Earnings

Cruise giant Carnival (CCL), one of 2025’s top gainers, fell nearly 5% as it broke below its 50-day moving average, triggering a technical sell signal.

Q3 Results: EPS rose 13% to $1.43, while revenue grew 3% to $8.15 billion.
Guidance: Carnival raised full-year earnings guidance to $2.14 per share, above Wall Street’s consensus.
Analyst View: JPMorgan reiterated a “buy” rating and lifted its price target from $39 to $42.

Despite Monday’s sell-off, Carnival remains up almost 17% in 2025, marking one of the strongest rebounds in the travel sector.

Interactive Brokers and DoorDash Test Buy Points

Other notable movers included:

Interactive Brokers (IBKR), climbing 3% as it broke into buy range above $68.07.
Karooooo (KARO), gaining 3.6% and clearing a cup-with-handle buy point.
DoorDash (DASH), rising nearly 3% above $269.06, supported by strong earnings growth and institutional buying.

These breakouts reflect investors’ appetite for growth stocks even as political uncertainty looms.

Tesla Rally Continues Ahead of Deliveries Report

Tesla (TSLA) extended last week’s rally, adding 0.7% in premarket trading. Investors are awaiting Q3 delivery numbers due Thursday, with analysts expecting around 447,750 vehicles.

Beyond deliveries, markets are also eyeing Tesla’s rollout of its latest full self-driving software, which has fueled much of the recent stock surge.

Government Shutdown Fears and Jobs Report in Focus

Political headlines continued to dominate Wall Street chatter. Former President Trump was set to meet congressional leaders in an attempt to avert a shutdown, with Republicans pushing for a stopgap bill and Democrats seeking additional healthcare funding.

If no deal is reached, the government could partially shut down midweek, potentially delaying the September jobs report—a key data release expected to show a modest 50,000-job gain.

Analysts noted that past shutdowns have often had limited long-term effects on markets, but prolonged uncertainty could pressure both equities and bonds.