The Dow Jones Industrial Average climbed 461.88 points, or 1.06%, to close at 43,870.35 in New York, leading a broad rally across Wall Street. The S&P 500 rose 31.60 points, or 0.53%, to settle at 5,948.71, while the Nasdaq Composite edged up a modest 6.28 points, or 0.03%, to 18,972.42, lagging behind its peers due to a slump in tech stocks.
The Nasdaq's underperformance was weighed down by a 4.6% decline in Alphabet shares after US regulators sought to break up the tech giant by selling its Chrome web browser. Amazon slipped 2.2%, while Meta and Apple also traded lower, reflecting growing uncertainty around major technology firms.
"After a significant run this year for tech stocks, news like this shakes investor confidence," said John Zechner, chairman of J. Zechner Associates.
Semiconductor leader Nvidia posted a modest gain of 0.5% after reporting better-than-expected quarterly earnings and revenue. However, despite the positive results and a strong revenue forecast, Nvidia's stock remained subdued, as lofty expectations tied to the artificial intelligence boom tempered investor enthusiasm.
"The market had set such high hopes for Nvidia that even beating forecasts wasn't enough to trigger a major rally this time," Zechner noted.
The Dow's outperformance reflected continued optimism for economic growth in the wake of the recent US election. Zechner highlighted investor bets on sustained global leadership by the US economy, though uncertainties surrounding president-elect Donald Trump's policies linger.
"There's a lot of unknowns, but for now, markets are assuming the US will continue driving global growth," Zechner said.
Trump's proposed tariffs on imports have sparked concerns about a potential resurgence of inflation, leading markets to scale back expectations for further interest rate cuts.
On commodities, crude oil prices advanced, with the January contract up US$1.35 to US$70.10 per barrel, while natural gas rose nine cents to US$3.48 per mmBTU. Gold gained US$23.20 to US$2,674.90 per ounce, and copper dipped three cents to US$4.13 per pound.
MSN
