US markets today: Wall Street steadies as Big Tech rebounds on earning results; oil prices slide sharply
The S&P 500 rose 0.6%, snapping a two-day losing streak that followed its recent record high.
The Dow Jones Industrial Average gained 140 points, or 0.3%, in early trade, while the Nasdaq composite outperformed with a 0.8% rise, led by renewed buying in Big Tech stocks.
The rebound in technology shares came after Taiwan Semiconductor Manufacturing Co.
(TSMC), a critical supplier to Nvidia and other global tech giants, reported quarterly profits that beat analyst expectations.
The chipmaker also said it may raise capital expenditure to as much as $56 billion this year to capitalise on sustained demand from artificial intelligence applications.Nvidia, which had been one of the biggest drags on the S&P 500 a day earlier after sliding 1.4%, jumped 2.3% following TSMC’s results, easing concerns that AI-linked stocks had run too far, too fast.
TSMC’s US-listed shares surged 3.7%, while ASML, a key supplier to chipmakers, rallied 6.7%.Sentiment was further supported by a sharp cooling in oil prices.
US benchmark crude tumbled 4.6% to $59.04 a barrel, while Brent crude fell 4.3% to $63.69.
The decline followed comments from President Donald Trump that executions in Iran may have been halted amid protests, easing fears of supply disruptions from one of the world’s key oil-producing regions.
Gold prices also edged down from record highs, another signal of easing risk aversion.Corporate earnings remained in focus as reporting season gathered pace.
Asset management giant BlackRock climbed 4.5% after posting stronger-than-expected profit and revenue, while Morgan Stanley gained 3.4% on similar results.
Goldman Sachs slipped marginally, despite beating profit estimates, after missing revenue expectations.In deal-related moves, Boston Scientific slid 5.5% after announcing a roughly $14.5-billion cash-and-stock acquisition of Penumbra, whose shares jumped 11.3%.Bond yields edged higher after a series of encouraging US economic indicators.
Data showed fewer Americans filing for unemployment benefits last week, alongside stronger-than-expected manufacturing activity in parts of the country.
The 10-year US Treasury yield rose to 4.14%, from 4.12% earlier in the day.Overseas, equity markets were mixed across Europe and Asia, with South Korea’s Kospi standing out after climbing 1.6%, one of the strongest global performances for the session.
