Updated from 10:25 a.m. ET on Monday, July 10 

Stocks broke higher on Monday, July 10, as the technology space found its momentum again after a shaky start to the day.

The S&P 500 added 0.15%, the Dow Jones Industrial Average gained 0.06%, and the Nasdaq rose 0.23%. All indexes were lower earlier in the session.

Tech stocks moved higher on Monday after driving markets to major gains on Friday, July 7. Sector gains boosted the Nasdaq by just more than 1% to close out Friday's session. The sector has been in rebound mode after a rough June -- the sector had pulled back in that month from lofty heights achieved during the first several months of the year.

The FAANG stocks (Facebook Inc. (FB) , Amazon.com Inc. (AMZN) , Apple Inc. (AAPL) , Netflix Inc. (NFLX) and Alphabet Inc. (GOOGL) , were each higher Monday. The stocks have taken a beating in recent weeks, beginning with their initial slide on June 9. The Technology Select Sector SPDR (XLK) increased 0.6%. 

Facebook, Apple and Alphabet are holdings in Jim Cramer's Action Alerts PLUS Charitable Trust Portfolio. Want to be alerted before Cramer buys or sells the stocks? Learn more now.

This bull market is dangerous for 10 reasons, said Doug Kass over on our premium site for investors, RealMoney. Get his insights with a free trial subscription to RealMoney. 

Federal Reserve Chair Janet Yellen heads to Capitol Hill in the coming week and Wall Street will be paying close attention to her assessments of the U.S. economy and how it might be affected by monetary-policy tightening. Yellen is set to deliver her semiannual testimony on monetary policy to the House Financial Services Committee on Wednesday, July 12, at 10 a.m. ET, and then to the Senate Banking Committee on Thursday, July 13, at 10 a.m. ET.

In its semiannual monetary policy report delivered before Yellen's testimony, the Federal Reserve said it expects "gradual" increases in the federal funds rate and said it's likely to start trimming reinvestment of proceeds from in its fixed-income portfolio later this year. The report was released on Friday. 

Yellen "could face some grilling as to why she is raising rates when the economy is still quite slow and inflation is nowhere to be seen," Euler Hermes North America chief economist, Dan North, told TheStreet. "The answer is, 'It's not inflation today -- it's inflation tomorrow.' It takes three to five quarters for changes in monetary policy to fully affect the economy, and with unemployment less than 4.5%, inflationary pressures are surely on the Fed's mind."

Hawkish talk from the Fed has increased recently, with several members expressing confidence that the U.S. could withstand the slow withdrawal of some stimulus measures set up in the wake of the 2008 financial crisis. In minutes from a June policy meeting, members discussed starting to unwind the $4.5 trillion in bonds on its balance sheet and the possibility of another rate hike before the year is out.

Tesla Inc. (TSLA)  fluctuated on Monday after CEO Elon Musk tweeted photos on Saturday of the first Model 3 ever produced. Musk said the first Model 3 had come off the production line and was now going through final checks. The first car will go straight into Musk's garage as a 46 th birthday present, he said.

The CEO said last week, a week in which the stock fell more than 17% on concerns over poor registration data in its home market of California and questions over its bullish production targets, that the first Model 3s would be on the roads in late July.

Valeant Pharmaceuticals International Inc. (VRX) increased 2.3% after announcing that it was on pace to pay down its debt according to its long-term plans. The drugmaker said Monday that it had paid down $811 million in senior secured loans, largely paid for by its sale of Dendreon Pharmaceuticals. The company said in a statement: "With this transaction, all mandatory amortization has been paid through 2019.

Southwest Airlines Co. (LUV) moved 1.5% lower after reiterating second-quarter revenue guidance. The airline anticipates 1% to 2% growth in operating revenue per available seat mile over the second quarter. For June, the airline reported a 3.7% increase in revenue passenger miles and a 3.8% increase in capacity.  

Abercrombie & Fitch Co. (ANF) slumped 20% after confirming that it had ended buyout talks. The company said in a statement that "the A&F Board of Directors determined that the best path to enhance value for stockholders is the rigorous execution of our business plan."

The Wall Street Journal reported earlier that discussions with possible buyers have stalled and talks have since ended. Abercrombie had said in May that it was in "preliminary discussions with several parties." 

Snap Inc. (SNAP)  fell slightly after Credit Suisse lowered its price target to $25 from $30 and reiterated its outperform rating. Analysts anticipate a decrease in average revenue per user ahead of the company's second-quarter earnings report. 

Costco Wholesale Corp. (COST) declined 1.8% after being downgraded to market perform from outperform at BMO Capital. Analysts warned that fear over increased competition from Amazon could "overshadow strong fundamentals." The stock has taken a beating since Amazon agreed in mid-June to purchase Whole Foods Market Inc. (WFM) . 

ClubCorp Holdings Inc. (MYCC) surged 30% after Apollo Global Management (APO) agreed to purchase the golf club company for $1.1 billion. Apollo agreed to pay $17.12 a share in an all-cash deal. The purchase values ClubCorp at a 30.7% premium to its Friday close. 

Intel Corp. (INTC) declined by 0.8% after Jefferies downgraded its rating to underperform from hold and decreased its price target to $29 from $38. Analysts see less industry demand for data center models. 

Visit here for more of the latest business headlines.

Eat, Drink and Talk Money with Jim Cramer

Meet Jim Cramer at an exclusive reception at his Bar San Miguel in Brooklyn, N.Y., on Tuesday, July 25, from 6:30 p.m. To 9 p.m.

The evening will start with a screening of Jim's CNBC show Mad Money. Afterwards, Jim will join the party fresh off of the CNBC set to mingle, take photos and answer your investing questions.

Tickets include dinner, drinks and an autographed copy of Jim's book Get Rich Carefully.

Click here for more information or to buy tickets.

Where: Bar San Miguel, 307 Smith St., Brooklyn, N.Y.

When: Tuesday, July 25, 6:30 p.m. to 9 p.m.

 

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