Stock market live Monday: Dow gives up 500-point gain, Nasdaq drops 2%, Tesla's wild move

This is CNBC's live blog covering the latest market-moving news. Here's what happened on Monday.

Monday's market by the numbers

  • The Dow closed up 0.04% for its second straight positive day
  • The S&P closed down 0.94% for its second negative day in three
  • The Nasdaq Composite closed down 2.13% for its worst day since June 26, after hitting a new intraday all-time high of 10,824.78 earlier in the session
  • The Russell 2,000 small caps closed down 1.34% for its second negative day in three
  • The Nasdaq 100 hit a new intraday all-time high of 11,069.26, crossing 11,000 for the first time ever, before giving back gains and closing lower
  • Seven out of 11 sectors were negative, led to the downside by tech, which fell 2.12% for its worst day since June 24. - Gina Francolla

Stocks end volatile trading session mixed

The major averages swung from gains to losses during a volatile session on Wall Street. After trading in positive territory for much of the day, the S&P 500 and Nasdaq Composite closed 0.9% and 2.1% lower, respectively, as Big Tech moved lower. The Dow Jones Industrial Average eked out a gain for the session, rising 11 points, or 0.04%. - Pippa Stevens

Did Tesla rollover spark market move lower?

After jumping more than double digits in early trading, shares of Tesla moved lower in afternoon trading, which some investors believe weighed on overall market sentiment. "Tesla is the poster boy of a parabolic move here and Tesla started to roll over at $1,140," said Bleakley Advisory Group's Peter Boockvar. "That sell-off accelerated and at about 2 p.m. the California headlines just exaggerated the move... We know it's a one way street. It got really just stretched and overbought and overcrazed in these tech stocks," he added. – Patti Domm, Pippa Stevens 

Tech shares drag market lower

Big Tech reversed gains to trade lower on Monday, weighing down the broader market. Netflix, Microsoft, Amazon, Netflix and Facebook all fell more than 1%. The S&P 500 and Nasdaq Composite fell into the red during afternoon trading as the tech trade faltered. – Pippa Stevens

U.S. hardens stance in South China Sea dispute

On Monday U.S. Secretary of State Mike Pompeo said China's claim to offshore resources in the South China sea are unlawful, according to Reuters. "Beijing's claims to offshore resources across most of the South China Sea are completely unlawful, as is its campaign of bullying to control them," Pompeo said in a statement, according to a report from Reuters. The denouncement comes as tensions rise between the U.S. and China. – Pippa Stevens

Final hour of trading: Stocks give back some gains after S&P 500 briefly goes positive for 2020

The major averages traded off their highs with one hour left in the session as Big Tech gave back a chunk of its initial gains. The Dow traded 455 points higher, or 1.7%, after being up more than 500 points earlier in the session. The S&P 500 remained 0.9% higher, and the Nasdaq was up just 0.5%. —Fred Imbert

S&P 500 erases 2020 losses

The market rally picked up steam in early afternoon trading with the S&P 500 gaining 1.4% to turn positive on the year. The equity benchmark is now 4.7% off its record high hit in February. The Dow jumped about 520 points to its session high. — Yun Li

Markets at midday: Dow rallies 400 points to start the week

Trader shrugged off another major spike in U.S. coronavirus cases, sending the major averages sharply higher Monday. The Dow traded 400 points higher, or 1.5%, around midday. The S&P 500 gained 1.3% and the Nasdaq Composite hit a record after surging 1.7%. —Fred Imbert

Bank of America raises price target on Spotify to a Street high

Bank of America raised its price target on Spotify to a Street high of $357 from $185 and said "we continue to believe shares offer compelling exposure to an iconic, global but still relatively early stage streaming business with optionality from new initiatives." The firm also called the online digital music service a "relatively resistant business to COVID-19." Shares of the company are up over 1% in midday trading. —Michael Bloom 

Robinhood nabs another $320 million in funding

Amid a surge of new retail investors, Silicon-Valley stock trading startup Robinhood announced another $320 million in funding on Monday. The new cash injection is an extension of the series F funding round announced in May. The funding values Robinhood at $8.6 billion. New backers include TSG Consumer Partners and IVP. — Maggie Fitzgerald 

Moderna pops 11% on Jefferies buy rating 

Shares of drug maker Moderna popped about 11% on Monday after Jefferies initiated coverage of the company with a buy rating. The Wall Street firm said Moderna's Covid-19 vaccine candidate will be approved and that it could generate about $5 billion in orders over the next few years. "We believe the Street will be surprised to the upside if the COVID-19 vaccine works, gets approved by early 2021, and there are multi-billion dollars of purchase orders from USA and around the world," a Jefferies analyst told clients. The firm slapped a $90 per share price target on Moderna. Moderna will join the Nasdaq-100 starting July 20, the Nasdaq said on Monday. — Maggie Fitzgerald 

Nasdaq 100 tops 11,000 for the first time

The Nasdaq 100, made up of the 100 biggest nonfinancial members of the Nasdaq Composite, rose 1.6% to hit a new intraday all-time high of 11015.32 in morning trading on Monday. This is the first time the tech-heavy benchmark has crossed the 11,000 mark. The strong momentum in Big Tech pushed the Nasdaq 100 up 14% in the past month, bringing its 2020 gains to 26%. — Yun Li

Copper signaling a global economic recovery, says Nuveen's Bob Doll

Copper prices have gone through the roof recently and that bodes well for the global economy, said Bob Doll, chief equity strategist at Nuveen. "Copper is the commodity that is most correlated with global GDP," Doll told CNBC's "Squawk on the Street." "If copper's doing well, it says we're going to get a global recovery and I agree with that." Copper is seen as a leading indicator by investors because it's a metal used across a number of sectors ranging from home construction to consumer products. The metal is up nearly 29% over the past three months and has gained more than 6% year to date. —Fred Imbert

Cowen raised its price target on Amazon to a Street high $3,700

Cowen raised its price target shares of Amazon to $3,700 from $2,750 on Monday and said it expects "top-line acceleration to continue." The firm said investors should "look for continued robust eCommerce demand amid pandemic surge," the analyst wrote. Shares of the company are up 2% in early trading. - Michael Bloom

Tesla hits new all-time high

Shares of Tesla jumped more than 12% on Monday to a new all-time high, as investors continue to pile into the Elon Musk-led company. After Mondays' sharp move higher, the automaker is now the tenth largest company in the U.S. by market value, according to FactSet. - Pippa Stevens

Stocks open in the green, Dow up 200 points

U.S. equities started the week in positive territory, fueled by positive vaccine news out of Pfizer and BioNTech. The Dow Jones Industrial Average rose 218 points, or 0.85% after the opening bell. The S&P 500 jumped 0.8% and the Nasdaq Composite rose more than 1% as technology stocks continued to chug higher. — Maggie Fitzgerald 

Here are Monday's biggest analyst calls of the day: Apple, Costco, Disney, Deere & more

  • Jefferies initiating Moderna as buy.
  • Atlantic Equities initiated Costco as overweight.
  • Baird upgraded Deere to outperform from neutral.
  • Goldman Sachs initiated Disney as buy.
  • Morgan Stanley raised its price target on Apple to $419 from $340.
  • Wedbush raised its price target on Apple to $450 from $425.

Pro Subscribers can read more here. — Michael Bloom

Big Tech higher

Shares of Netflix rose 3% during premarket trading, while Amazon and Alphabet were each more than 1% higher, putting the three stocks on track to open at record high levels. All three closed at record highs on Friday, as investors continue to favor Big Tech. Gains in these stocks and others have pushed the tech-heavy Nasdaq to a new all-time high, and an 18% gain for the year. The Dow and S&P 500, meanwhile, are still in the red for 2020. – Pippa Stevens

Bank of America raising price target on Netflix ahead of earnings

Bank of America raised its price target on Netflix to $625 from $525 on Monday morning and said it expects the "demand surge to hold" in the second quarter. "We view stable churn as a positive sign, which suggests the surge in demand from US lockdowns/social distancing has not yet been followed by a wave of en-masse cancellations," analyst Nat Schindler said. The firm also re-iterated its buy rating on the stock ahead of the company's earnings report on Thursday. Shares of Netflix are up 20% this month. - Michael Bloom

There's further upside in stocks after this consolidation phase, Canaccord says

Canaccord's chief U.S. equity strategist, Tony Dwyer, said in a note that stocks have been in a consolidation phase since early June as most of the upside since then comes from the mega-cap tech names. However, he still believes there is further upside in stocks once this consolidation phase concludes. "Historic levels of credit and liquidity, coupled with the turn in the global economy, should cause any periods of consolidation to be resolved to the upside – even with weak Q2/20 EPS reports and cautious comments from management teams," Dwyer said. "We are in unprecedented times with substantial health, economic, social, and political unknowns … but the majority of our data continues to point to intermediate- to long-term opportunity in the economic reopening theme as we move into 2021." —Fred Imbert, Michael Bloom

Disney jumps on Goldman's buy rating

Shares of Disney rose more than 1% in premarket trading on Monday after Goldman Sachs initiated coverage of the media giant with a buy rating. The Wall Street firm slapped a $137 per share price target on the stock, a more than 14% rally from its current level. Goldman is betting Disney's streaming service Disney+ will gain more subscribers and become more profitable than analysts expect. "We believe the market is undervaluing its DTC segment by >50%, based on our outlook for Disney+ reach to 150mn subs by 2025 and to achieve profitability by F2021 (consensus F2023)," a Goldman Sachs analyst told clients. Goldman also expects Disney's theme park business to return to normal following the pandemic. — Maggie Fitzgerald 

Tesla shares up 7% in premarket trading

Tesla shares gained nearly 7% during premarket trading on Monday after the automaker said it will cut the starting price of its Model Y SUV by $3,000. The move follows price cuts for the company's Model 3, Model X and Model S. Shares of the Elon Musk-led company have gained more than 250% this year, pushing the electric vehicle maker's market value to $286 billion. The stock was set to open at an all-time high on Monday, after closing at a record during Friday's trading session. – Pippa Stevens

Analog Devices buying Maxim Integrated in a deal worth nearly $21 billion

Semiconductor company Analog Devices said Monday that it will acquire Maxim Integrated for $20.91 billion in stock. In the deal, which is expected to close next summer, Analog Shareholders will own 69% of the combined company, with Maxim shareholders holding the rest. Shares of Analog Devices jumped more than 2% during premarket trading on Monday, while Maxim was up 19%. – Pippa Stevens

Coronavirus vaccines get 'fast track' status from FDA

Shares of Pfizer jumped around 3% during premarket trading on Monday while BioNTech shares gained 8% after the companies were granted "fast track" status by the FDA for their work on potential Covid-19 vaccines. "The FDA's decision to grant these two COVID-19 vaccine candidates Fast Track designation signifies an important milestone in the efforts to develop a safe and effective vaccine against SARS-CoV-2," said Peter Honig, Senior Vice President of Global Regulatory Affairs at Pfizer, in a statement. "We look forward to continue working closely with the FDA throughout the clinical development of this program, Project Lightspeed, to evaluate the safety and efficacy of these vaccine candidates." - Pippa Stevens

Futures higher despite record increase in Covid-19 cases

Stock index futures rose on Monday despite a record jump in Covid-19 cases over the weekend. Futures on the Dow Jones Industrial Average gained 223 points, or 0.8%. The move implied an increase of 244 points at Monday's open. S&P 500 futures and Nasdaq-100 futures each rose about 1%. The move higher comes even as Florida reported 15,299 new cases on Sunday, the highest single-day total for a U.S. state. The Dow and the S&P 500 are coming off their second straight week of gains, while the Nasdaq Composite is coming off its third consecutive higher week. The tech-heavy index closed at a record high on Friday, fueled by gains in names including Amazon, Apple, Netflix and Alphabet. - Pippa Stevens