Paul Tudor Jones expects stocks to hit new record highs before blowing through the roof, says Paul Tudor Jones Stocks rose slightly on Monday as Wall Street started on a positive note.
summary
- U.S. stocks edged higher on Monday as investors continued to look beyond the government shutdown.
- Paul Tudor Jones told CNBC that the stock could rise further before breaking its top.
- Gold and Bitcoin also edged higher amid bullish sentiment around safe-haven assets.
The Dow Jones Industrial Average rose 76 points, while the S&P 500 and Nasdaq Composite rose 0.3% and 0.5%, respectively. The new gains for the S&P 500 and Nasdaq Composite follow last week's overall gains, marking the fourth positive weekly close for the benchmark and tech-heavy index in the past five weeks.
Stocks rose modestly last week as investors rallied around big deals related to artificial intelligence despite the U.S. government shutdown.
Nvidia, AMD, Intel, and OpenAI have been in the spotlight in recent days for multimillion-dollar AI deals, with AMD's stock soaring more than 30% in pre-market trading on October 6th following news of the company's partnership with leading AI startup OpenAI.
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Will stock prices continue to rise?
Paul Tudor-Jones, founder and chief investment officer of Tudor Investment Corporation, thinks the stock has more room to rise. In an interview with CNBC's “Squawk Box,” he discussed his outlook for the market given the current state of the U.S. economy, noting that the market still has room for further upside before the bulls run out of steam.
According to Paul Tudor Jones, stocks could soar further past the next level before the long rally ends with a “blowout” top.
His comments come as analysts expect the S&P 500 to rise above 7,000, and Jones sees current market conditions as supporting a rally into 2026. The state of Wall Street in 2025 will be different than it was before the 1999 tech bubble, and the high-tech environment lends itself to this view.
The U.S. budget deficit and the Federal Reserve's easing cycle could provide tailwinds for stocks to soar before a sudden selloff next year.
gold, bitcoin edge high
The fact that investors have largely avoided fears of a government shutdown is also a major benefit for cryptoposts. In fact, Bitcoin (BTC) has hit a new all-time high of over $125,700 and is likely to rise further as the shutdown drags on.
Meanwhile, gold also rose as investors took a new bullish stance on safe-haven assets. The precious metal hit a new record high above $3,900.
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