- Twitter jumps on Musk news to resume buying at $54.20 per share
- Rivian reaffirms vision of fiscal year deliveries; raise the companions
- U.S. job postings posted the biggest drop in 2.5 years in August
- Indexes up: Dow 2.42%, S&P 2.63%, Nasdaq 2.92%
Oct 4 (Reuters) – The Nasdaq led Wall Street higher on Tuesday, boosted by growth in megacaps and technology stocks as U.S. Treasury yields fell, while Twitter Inc jumped to reports that Elon Musk is proposing to go ahead with his original bid for the social media firm. .
If the gains hold, the Nasdaq Composite (.IXIC) is expected to hit its best one-day performance since July 27.
The data showed that U.S. job openings, a measure of labor demand, fell by the most in nearly 2 1/2 years in August. Read more
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Lifting rate-sensitive technology and tech-adjacent stocks, U.S. 10-year Treasury yields fell for a second day after jobs data and a surprise move by Australia’s central bank to curb its pace of rate hikes.
“The shocks coming in below expectations point to a weakening labor market,” said Thomas Hayes, president and managing member of New York-based Great Hill Capital.
“If Friday’s NFP (non-farm payrolls) jobs report confirms this, it could give the Fed cover to slow its tightening.”
However, Gov. Philip Jefferson said inflation is the most serious problem facing the Federal Reserve and “may take some time” to address, and the president of the Federal Reserve Bank of San Francisco , Mary Daly, said the central bank must offer further interest rate hikes. read more read more
Megacap market leaders Apple Inc ( AAPL.O ), Microsoft Corp ( MSFT.O ), Alphabet Inc ( GOOGL.O ) and Nvidia Corp ( NVDA.O ) advanced between 2 percent and 5 percent, while that the Philadelphia SE Semiconductor index (.SOX) rose 4.1%.
Billionaire Elon Musk is proposing to go ahead with his original offer of $54.20 a share to take Twitter Inc ( TWTR.N ) private, two sources familiar with the matter said, sending shares of the networking firm social 12.7%. Read more
Tesla Inc ( TSLA.O ), the electric vehicle company run by Musk, pared some early gains but still traded 1.5 percent higher. Read more
At 12:52 pm ET, the Dow Jones Industrial Average (.DJI) was up 713.98 points, or 2.42%, at 30,204.87, the S&P 500 (.SPX) was up 96.88 points, or 2 .63%, to 3,775.31, and the Nasdaq. The composite (.IXIC) rose 315.72 points, or 2.92%, to 11,131.15.
Banks including Citigroup ( CN ), Morgan Stanley and Goldman Sachs rose nearly 5%, lifting the bank index ( .SPXBK ) 4%.
Indicative of the broad-based nature of the gains, only nine stocks in the benchmark S&P 500 (.SPX) traded in negative territory.
The rally in stocks in the first trading session of the latest quarter on Monday followed the lowest close for the S&P 500 (.SPX) in nearly two years on Friday that capped its worst monthly performance since March 2020.
Rivian Automotive Inc ( RIVN.O ) rose 12.1 percent after the electric vehicle maker said it produced 7,363 units in the third quarter, up 67 percent from the previous quarter, and maintained its target for the whole year of 25,000. Read more
Advances in issuance outnumbered decliners by a ratio of 9.87 to 1 on the NYSE and 4.81 to 1 on the Nasdaq.
The S&P index hit a new 52-week high and a new low, while the Nasdaq hit 41 new highs and 45 new lows.
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Reporting by Medha Singh, Ankika Biswas and Bansari Mayur Kamdar in Bangalore; Editing by Anil D’Silva, Arun Koyyur and Sriraj Kalluvila
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