S&P 500 and Nasdaq rise as Amazon's record high fuels boost optimism.
- Amazon and Apple reach new all-time records.
- Wall Street reacts positively to tech earnings reports.
- Nvidia announces shipment of 260 AI chips.
US stocks closed higher on Friday, with Wall Street reacting positively to strong results from Amazon and Apple. Enthusiasm over the tech giants' earnings rekindled investor optimism and led to consistent weekly gains for the major indexes.
The Nasdaq Composite rose 1%, while the S&P 500 advanced nearly 0,5%. The Dow Jones Industrial Average, however, registered a slight increase of 0,1%, reflecting the more subdued performance of non-tech stocks. The market reacted to the release of Amazon's third-quarter results, which far exceeded analysts' expectations.
Amazon shares rose as much as 12% at the open, hitting an all-time high of $250,20, before paring some of those gains. The Amazon Web Services division reported 20% revenue growth, a sign of recovery in corporate demand for cloud services, boosting market confidence.
Apple also reported results that exceeded expectations and presented an optimistic outlook for the year-end quarter. Shares reached $277,32 shortly after the opening, marking a new all-time high, before retreating slightly. The positive reaction reinforced the perception of stability among major technology companies.
After a day of widespread declines in the previous trading session, investor sentiment improved. Meta faced strong volatility following criticism of increased spending on artificial intelligence. Even so, gains in other big tech companies offset recent losses and propelled the indices back into positive territory.
Nvidia also recovered, rising more than 1%, after announcing the supply of up to 260 AI chips to companies and the South Korean government. CEO Jensen Huang stated he was "hopeful" about the impact of the trade truce between the US and China on Blackwell chip exports.
Meanwhile, Netflix saw its shares rise after the announcement of a 10-for-1 stock split. On the same day, Federal Reserve officials made statements regarding the recent decision to cut interest rates, keeping investors attentive to further signals about US monetary policy.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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