Nasdaq 100 Touches a Record in a Tech-Fuelled Rally on Earnings Optimism – US Market Wrap

A rally in some of the world’s largest technology companies fueled a stock rebound, with traders also looking to the latest economic data and Fedspeak for clues on the US central bank’s next moves.

Following a two-day slide, the S&P 500 recovered as bond-market volatility subsided. The Nasdaq 100 closed at an all-time high, with Apple rising on an analyst upgrade and Taiwan Semiconductor Manufacturing’s outlook boosting chipmakers on hopes for a global tech recovery in 2024.

Stock traders were unconcerned about data highlighting labor-market strength at a time when Fed officials are looking for signs of a slowdown as they consider cutting interest rates. President Bostic of the Federal Reserve Bank of Atlanta urged policymakers to proceed with caution when easing, citing the potential impact of unpredictable events ranging from elections to global conflicts. His Philadelphia counterpart, Harker, predicted that inflation would continue to fall towards the 2% target.

The S&P 500 closed at 4780.94, while the Nasdaq 100 rose 1.5%. An index of chipmakers rose nearly 3.5%. Treasury two-year yields remained at about 4.35%. Oil prices rose to $74 per barrel. Bitcoin dropped below $41,000.