Market Momentum: Tech Stocks Soar on Strong Earnings
Monday’s midday trading session saw major U.S. indexes surge, driven by a remarkable performance from tech stocks. The sector’s gains were largely attributed to impressive fourth-quarter results from Nvidia and Apple supplier Foxconn.
Chip Companies Lead the Charge
The S&P 500 and Nasdaq rose over 1%, while the Dow also posted gains. Chip companies were among the top performers in the S&P 500, with Foxconn’s record fourth-quarter sales sparking demand for artificial intelligence (AI). As a result, Nvidia shares approached an intraday record high.
Streaming Service FuboTV Soars on Disney Merger
FuboTV shares skyrocketed after announcing a merger with Walt Disney, which will see the streaming service team up with Disney’s Hulu + Live TV. Disney shares also experienced a significant boost.
Airline and Telecom Stocks See Mixed Fortunes
American Airlines shares advanced following upgrades from Jefferies and TD Cowen analysts, who cited expectations for strong earnings. In contrast, T-Mobile US shares plummeted after downgrades from RBC and Wells Fargo, which warned about the cellphone service provider’s valuation and slowing growth.
CME Group Shares Fall on Growth Concerns
CME Group shares also declined after analysts at Citi downgraded the stock and lowered its price target, citing concerns about slowing growth.
Commodities and Currencies: Oil Rises, Gold Falls
Oil futures rose, while gold prices declined. The yield on the 10-year Treasury note climbed, and the U.S. dollar gained ground against the yen but lost value against the euro and pound. Most major cryptocurrencies traded in the green, adding to the overall positive market sentiment.
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