Markets Near Records Despite U.S. Shutdown

U.S. markets have largely shrugged off the government shutdown, with the S&P 500, Nasdaq and Dow trading at or near record highs as investors focus on earnings, AI-driven tech gains and expectations for multiple Federal Reserve quarter-point rate cuts. Weak private payrolls (ADP) and the prospect of delayed official jobs and inflation releases because of the shutdown have reinforced bets on rate cuts and created a “data desert,” leaving corporate earnings as the next clear economic signal. Safe-haven demand has pushed gold to fresh records near $3,900–$4,000 an ounce, lifting miners and prompting increased exposure from some analysts and central banks. Treasury yields and the U.S. dollar have edged lower while sector rotation—especially into chipmakers after new AI infrastructure partnerships—has supported technology indexes. Strategists warn of elevated sector correlations and the need for selectivity, but economists note past shutdowns have generally produced limited long-term market damage, so investors are reallocating toward gold and watching corporate results for clearer direction.