U.S. stocks opened the week trying to build on last week’s gains, with the Dow, S&P 500 and Nasdaq each trading near fresh closing highs as investors digested the implications of a recent Federal Reserve rate cut and awaited further economic signals. Tech and consumer discretionary names led the advance, while financials showed more muted movement amid a continued slide in yields.

Gold surged to an intraday record, extending a months-long rally that has been driven by falling real yields and cautious inflation expectations. Silver also climbed to levels not seen in roughly 14 years. The precious-metals move came as the 10-year Treasury yield eased, a development traders and portfolio managers linked directly to the Fed’s pivot toward easier policy. According to intraday FactSet pricing, gold rose by roughly 1.5 percent, while long-term Treasury yields fell several basis points from last week’s levels.

“The market is re-pricing the future path of interest rates,” said a senior portfolio strategist at a New York investment firm. “Lower real yields are a natural tailwind for gold, and the Fed’s change in stance is prompting a broader reallocation across risk assets.”

Cryptocurrencies diverged sharply from the metals trade. Bitcoin slipped more than 3 percent in early trading, reversing a recent run-up and underscoring the market’s sensitivity to liquidity and macro shifts. Traders cited profit-taking after last week’s gains and a lack of clear catalysts for fresh crypto inflows. The weakness in bitcoin contrasted with the pressure on defensive cash alternatives as investors looked to capture gains in equities.

Market technicians noted the breadth of the S&P 500 rally as a positive sign for bulls: more sectors were participating in the advance than in past stretches where gains were narrowly concentrated in large-cap technology names. Still, valuation questions remain. The S&P 500’s price-to-earnings multiple sits above its long-term average, a reality that leaves equities vulnerable to disappointing corporate guidance or a surprise uptick in inflation that could push rates back up.

Fixed-income demand has been notable: institutional buyers have continued to add long-dated Treasurys even as yields moved lower, a phenomenon some market observers likened to the return of “bond vigilantes” in reverse. Lower yields have both supported equity valuations and made non-yielding assets such as gold more attractive.

For policymakers, the market’s reaction underscores the balancing act ahead. A looser policy path supports asset prices but risks overheating portions of the economy if growth accelerates. Investors will be watching upcoming economic releases — including consumer spending and payroll indicators — for clues about the durability of the recovery and whether the Fed will need to resume tightening.

In the near term, traders said the market’s trajectory will hinge on earnings revisions and the persistence of lower yields. “This is a market that’s willing to look through near-term uncertainty when policy is perceived as supportive,” the strategist added. “But at some point fundamentals have to catch up with prices.”