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

S&P 500, Dow Hit Records as Tech Flexes Muscles; Biden Signs $1.9tn Stimulus

Stock Markets Mar 11, 2021 02:28PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters
 
US500
-2.11%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
DJI
-1.54%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
ORCL
-2.65%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
GOOGL
-2.63%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
AAPL
-4.91%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
AMZN
-2.72%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

By Yasin Ebrahim

Investing.com – The S&P and Dow hit record highs on Thursday, led by surge in tech stocks on easing fears about a disorderly rise in U.S. rates, with some on Wall Street calling the recent selloff  a "golden opportunity" to load up on growth.  

The Dow Jones Industrial Average rose 0.98%, or 316 points, and had hit intraday record of 32,661.59, and the S&P 500 rose 1.44%, after hitting a record high of 3,960.60 and the Nasdaq Composite was up 2.7%.

"While it's a 'buckle the seat belt' time for tech stocks, we believe this sell off has created a golden opportunity for investors to own the secular tech winners for the next 3-5 years," Wedbush said in a note. The firm outlined FAANG, cloud, cyber security, 5G, and artificial intelligence stocks to lead the charge higher, underpinned by the growing digital transformation trend that is set to pick up speed.

Facebook (NASDAQ:FB), Apple (NASDAQ:AAPL), Amazon.com (NASDAQ:AMZN), Netflix (NASDAQ:NFLX) and Google-parent Alphabet (NASDAQ:GOOGL) were higher, pushing broader market to record highs, with easing fears about a disorderly rise in rates also playing a role in the reviving the growth trade.

The 10-year yield remained above 1.5%, but some market participants are backing rates to remain in check following auction results for the 10-year note on Wednesday that suggested current rates were attractive enough for buyers.

Given the selloff in bond prices, which trade inversely to yields/rates, over the past month, there were concerns that the market wasn't ready to buy bonds anticipating a further run up ahead, but the auction results "seem to be put [those fears] to rest for now," Jefferies (NYSE:JEF) said.

Semiconductors rose more than 4% adding to gains in the broader tech sector as investors appeared to take advantage of the recent beatdown in chip stocks.

But it wasn't all green in tech as Oracle (NYSE:ORCL) fell 6% after its softer guidance offset better-than-expected fourth-quarter results.

During the recent melt-up in rates, intense debate broke out over the catalyst that had pushed yields up, with some pinning blame on fears over runway inflation, while others suggested the appreciation was sparked by optimism over the economic recovery.

In recent days, fears that inflation would spiral out of control have eased, and data continues to point to an improving economic recovery.

The U.S. Department of Labor reported Thursday that initial jobless claims decreased by 42,000 to 712,000 in the week ended March 6, the lowest since November and above forecasts for decline to 725,000.

Cyclical stocks – those that move in tandem with economy – climbed higher, though not in the same vein as recent sessions, as financials lagged the broader move higher.

Energy was up more than 1% as oil prices resumed their trend higher following on weakness earlier this week.

Market sentiment on stocks has also been boosted by wave of the liquidity that is set to increase over the next few months as President Biden's $1.9 trillion was signed into law on Thursday.

In other news, Bumble (NASDAQ:BMBL) reported its maiden quarterly report and guidance on Wednesday that topped Wall Street expectations, sending its shares more than 18% higher.

S&P 500, Dow Hit Records as Tech Flexes Muscles; Biden Signs $1.9tn Stimulus
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other 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, don’t trash it.

  •           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. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. 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.
Comments (21)
Viking Fire
Viking Fire Mar 12, 2021 12:02AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
I am glad to aee this put behind us so we can go back to working for a better future for our children and grand children.
perplexed76 .
perplexed76 . Mar 11, 2021 9:50PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
"the lowest since November" moderate data caused so much euphoria among gamblers
Devin Wascher
Devin Wascher Mar 11, 2021 8:48PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
And with all this watch it be red tomorrow
TheEnd IsNigh
TheEnd IsNigh Mar 11, 2021 8:48PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
...and you win the prize for today. Good call.
Axel Le Gamin
Axel Le Gamin Mar 11, 2021 6:54PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
The stock market is a giant casino
James Johannsen
James Johannsen Mar 11, 2021 6:39PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
not long till the entire country looks like Los Angeles
James Pattison
James Pattison Mar 11, 2021 5:10PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Next time you go to the grocery store... spend like the usa federal government
James Pattison
James Pattison Mar 11, 2021 5:09PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Nothing like rewarding cities and states for wreckless spending and then the rest of the country can subsidize their irresponsible democrat spending... thanks president houseplant
Jon Bal
Jon Bal Mar 11, 2021 4:29PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
looks like the 30 year auction was a bit sluggish
Mitchel Pioneer
Mitchel Pioneer Mar 11, 2021 4:23PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Of course nothing is ever "priced in" to the greatest investment fraud in the world, unless it's bad news. More record levels of criminal manipulation in the laughingstock of the financial world.
Jacob Steinschlag
Jacob Steinschlag Mar 11, 2021 4:23PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
can you stop spamming
Josh Modern
JoshModern Mar 11, 2021 4:16PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
I love Biden
 
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
Continue with Google
or
Sign up with Email