Breaking News
Close
Investing Pro 0
NEW! Get Actionable Insights with InvestingPro+ Try 7 Days Free

S&P 500 Climbs as Bullish Bets Resume Powered by Chip Stocks

Stock Markets Mar 24, 2022 18:50
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters

By Yasin Ebrahim

Investing.com – The S&P 500 climbed Thursday as chip stocks led a broad-based rally in tech and the strongest jobless claims report in decades pointed to underlying strength in the economy.

S&P 500 rose 0.9%, the Dow Jones Industrial Average gained 0.7%, or 244 points, the Nasdaq rose 1.2%.

Chip stocks jumped more than 4%, led by Intel (NASDAQ:INTC) and NVIDIA (NASDAQ:NVDA) after the latter's chief executive Jensen Huang said the company would be interesting in using Intel to source its chips.

Some on Wall Street are skeptical, pointing out that Nvidia is unlikely to risk its competitive edge by allowing a rival to produce its chips. 

“[W]e see little likelihood that NVDA would choose to fab prominent products at arguably its most significant competitor's facilities, a choice that would provide Intel with an early look at NVDA's future chip design,” Wedbush said in a note.

The broader tech sector was also helped by ongoing strength in Meta Platforms Inc (NASDAQ:FB) after the social media giant confirmed plans to build a hyperscale data center in the north Kansas City area.

Sentiment on risk assets was also supported by data pointing to economic strength as jobless claims fell to its lowest level since 1989.

“It [the labor market] is extremely strong and this data is exactly the sort of evidence that has given the Fed confidence that they can raise rates more quickly to battle inflation,” Jefferies said in a note.

Durable goods orders, however, fell by a more than expected 2.2% last month, though economists were quick to downplay the weakness, estimating a rebound was likely ahead.

“It seems reasonable, given firms’ sky-high investment spending intentions, to think that March will see a clear rebound,” Pantheon Macroeconomics said.

The backdrop of stronger economic data offset rising geopolitical tensions as the U.S. and its allies look to further isolate Russia as the latter’s ongoing conflict with Ukraine rolls into the fifth week.   

Biden said the U.S. would respond if Russia uses chemical weapons in Ukraine, and called on Russia to be booted out of the G20.

Uber Technologies (NYSE:UBER), meanwhile, surged 4% after the ride-sharing company said it struck a partnership to add New York taxis to its app.

On the meme stock front, GameStop (NYSE:GME) took a breather from its recent melt-up to remain on a course to snap a seven-day rally.

S&P 500 Climbs as Bullish Bets Resume Powered by Chip Stocks
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Our Apps
DOWNLOAD APPApp store
Investing.com
© 2007-2022 Fusion Media Limited. All Rights Reserved.
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
  • Sign up for FREE and get:
  • Real-Time Alerts
  • Advanced Portfolio Features
  • Personalized Charts
  • Fully-Synced App
Continue with Google
or
Sign up with Email