Stock Market Update

[BRIEFING.COM] The S&P 500 (+0.6%), Nasdaq Composite (+0.7%), and DJIA (+0.3%) hold modest gains shortly before midday. 

The major averages are supported by another solid day of mega-cap gains after a relatively flat start to the year. The Vanguard Mega Cap Growth ETF is up 0.8% today, though it is still down 0.5% for the year. 

This week will be an important test of confidence in the mega-cap group, as four of the "magnificent seven" companies are set to report earnings. 

Meta Platforms (META 672.29, +13.53, +2.05%) is among those names, posting a solid gain after Rothschild & Co Redburn upgraded the stock to Buy from Neutral with a target price of $900. 

Apple (AAPL 254.63, +6.59, +2.66%) is also off to a solid start, with JPMorgan raising the stock's target price to $315 from $305.  Microsoft (MSFT 472.08, +6.14, +1.32%) adds strength to the complex, with its gain also helping the information technology sector (+0.9%) notch a solid gain despite the PHLX Semiconductor Index moving 0.3% lower. 

Eight S&P 500 sectors currently trade higher, though even with relative strength in the broader market, the S&P 500 Equal Weighted Index is up just 0.3%, underscoring the megacap group's contribution to the market-weighted S&P 500 (+0.6%). 

Outside of the S&P 500, the Russell 2000 (-0.3%) and S&P Mid Cap 400 (-0.2%) have seen a modest continuation of the previous week's softness.