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Alphabet rises from fresh AI partnerships
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PDD jumps after Q2 revenue decline
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Catalyst Gains on Settlement with Elliott to Explore Review
(Updated at 4:00 PM ET/2000 GMT)
by Srishti Achar and Noel Randevich
Aug 29 (Reuters) – Wall Street closed sharply higher on Tuesday, lifted by Tesla, Nvidia and other megacap growth stocks after a decline in monthly job vacancies raised hopes of holding off on an interest rate hike by the U.S. Federal Reserve. increased.
The S&P 500 and Nasdaq rose to their highest levels in more than two weeks during the session after the Labor Department’s Job Openings and Labor Turnover Survey (JOLTS) showed that July job openings numbered 8.827 million, Which is falling for the third consecutive month and is showing signs of easing. Labor market pressure.
Investors also analyzed a report from the Conference Board that showed consumer confidence in the United States fell to 106.1 in August, compared to expectations for 116.
Interest rate futures indicated an 87% chance the Fed would keep rates steady at its September meeting and a 54% chance it would keep rates steady through November, according to CME Group’s FedWatch tool.
“The mindset of investors is that ‘you know what, maybe interest rate hikes are really behind us. So let’s buy back into stocks,’” said Sam Stovall, chief investment strategist at CFRA Research.
The S&P 500 rose 64.39 points, or 1.45%, to 4,497.70, while the Nasdaq Composite advanced 239.36 points, or 1.74%, to 13,943.37, according to early data. The Dow Jones Industrial Average rose 294.97 points, or 0.85%, to 34,854.95.
The yield on the 10-year Treasury note eased to 4.11%, while that on the two-year note fell below 5% after hovering around that level for the past few sessions.
The decline in yields supported growth stocks, with Apple, Nvidia and Meta Platforms all gaining.
Tesla rallied even as documents showed a US regulator sent the electric vehicle maker a special order asking questions about changes to its Autopilot software, a driver monitoring system.
Alphabet got a boost from new artificial-intelligence technology and partnerships unveiled by its Google parent.
The July non-farm payrolls report on Friday will provide investors with more clarity on labor market conditions. Focus will also be on the Fed’s favorite inflation gauge, the personal consumption expenditure index, which is due out on Thursday.
A lack of sharp surprises in Fed Chairman Jerome Powell’s comments at the Jackson Hole symposium last week lifted stocks on Monday as attention turned to upcoming economic data to gauge how long the central bank could keep interest rates high. can keep
Catalent made the jump after contracting the drugmaker to a deal with activist investor Elliott Investment Management to conduct the review.
Verizon and AT&T gained after Citi upgraded the telecom companies to “Buy” from “Neutral”.
US-listed shares of PDD Holdings gained after the Chinese e-commerce firm beat second-quarter revenue estimates. (Reporting by Srishti Achar A and Amrita Khandekar in Bengaluru, and Noel Randevich in Oakland, California; Editing by Shaunak Dasgupta and Deepa Babington)
Source: finance.yahoo.com
