Should be a green Monday.
S&P 500 Gains as Chip Stocks Lead Tech Higher
Stock Markets 3 hours ago (Aug 13, 2022 04:50)
Investing.com -- The S&P 500 climbed as chip stocks helped tech bounce back from a wobble a day earlier to keep the broader market on track for its fourth straight weekly gain.
The
S&P 500 gained 1.73%, the
Dow Jones Industrial Average added 1.27%, the
Nasdaq was up 2.09%.
Technology stocks were led higher by a more than 2% jump in
semiconductor stocks as dip-buying in Micron Technology Inc (NASDAQ:
MU) and NVIDIA Corporation (NASDAQ:
NVDA) continued after the duo plunged earlier this week on profit warnings.
As well as rallying chip stocks, big tech was also in the ascendency. Apple (NASDAQ:
AAPL) was up more than 1% after the tech giant reportedly told iPhone suppliers to ramp up production amid expectations for sales to remain steady despite a slowing market.
Tech is set to gain nearly 2% this week on easing fears of a deep recession and signs of easing inflation that has pressured U.S. Treasury yields.
“Treasury yields have come down, allowing the sector to be valued higher than it was before … [boosting] the mega cap tech stocks that dominate the equity indexes,” Jimmy Lee, the founder and CEO of The Wealth Consulting Group, told Investing.com in an interview on Thursday. "The idea that we're not going to be in a bad recession, and a recession could be short lived," Lee added, has also played a role in the recent run-up in big tech.
Sentiment on stocks were also boosted by data pointing to an ongoing recovery in the
consumer sentiment on the economy, but expectations on
five-year inflation ticked up to 3%.