Stocks have moved mostly higher during trading on Friday, with the Nasdaq and the S&P 500 on pace to set new record closing highs. The major averages have all moved to the upside, with the tech-heavy Nasdaq leading the advance.
Currently, the major averages are just off their highs of the session. The Nasdaq is up 100.29 points or 0.6 percent at 16,192.22, the S&P 500 is up 21.87 points or 0.4 percent at 5,118.14 and the Dow is up 58.69 points or 0.2 percent at 39,055.08.
The advance by the Nasdaq partly reflects substantial strength among computer hardware stocks following upbeat results from Dell (DELL), with the NYSE Arca Computer Hardware Index soaring by 6.7 percent to a record intraday high.
Shares of Dell are skyrocketing by 26.0 percent after the computer maker reported fourth quarter results that exceeded analyst estimates on both the top and bottom lines.
The upbeat results from Dell have also contributed to significant strength among semiconductor stocks, as reflected by the 3.3 percent surge by the Philadelphia Semiconductor Index. The index has also reached a record intraday high.
Outside the tech sector, oil service stocks are seeing considerable strength amid a sharp increase by the price of crude oil, driving the Philadelphia Oil Service Index up by 3.2 percent.
Gold, oil producer and pharmaceutical stocks are also seeing notable strength, while utilities stocks have moved to the downside.
The strength on Wall Street also comes following the release of a report from the Institute for Supply Management showing manufacturing activity in the U.S. unexpectedly contracted at an accelerated rate in the month of February.
The ISM said its manufacturing PMI dipped to 47.8 in February from 49.1 in January, with a reading below 50 indicating contraction. Economists had expected the index to inch up to 49.5.
The University of Michigan also released revised data showing consumer sentiment in the U.S. unexpectedly deteriorated in the month of February.
The report said the consumer sentiment index for February was downwardly revised to 76.9 from the previously reported 79.6. Economists had expected the reading to be unrevised.
With the unexpected downward revision, the consumer sentiment index is now below the January reading of 79.0.
The data has contributed to a downturn by treasury yields, which has likely added to optimism about the outlook for interest rates.
In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Friday. Japan’s Nikkei 225 Index surged by 1.9 percent, while China’s Shanghai Composite Index rose by 0.4 percent.
The major European markets have also moved to the upside on the day. While the U.K.’s FTSE 100 Index has advanced by 0.8 percent, the German DAX Index is up by 0.4 percent and the French CAC 40 Index is up by 0.1 percent.
In the bond market, treasuries have moved notably higher after seeing early weakness. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, is down by 5.3 basis points at 4.199 percent.
Business News
U.S. Stocks Seeing Further Upside Amid Tech Sector Strength
2024-03-01 16:25:49
