Market News U.S. stocks rose on Wednesday, with the Dow Jones industrial average closing at a record high, boosted by the latest merger news and some strong corporate earnings. An index of semiconductors shot up 1.1 percent and hit an intraday high of 652.28, its highest since August 2001. The index was led higher by gains in Intel Corp, up 9.3 percent at $34.65. The worlds largest chipmaker reported second-quarter results that topped analysts estimates. Shares of Micron Technologies rose 1.8 percent to $34.64. The S&P 500 technology index rose 1 percent and ranked among the days best-performing sectors in the S&P 500. Weve now come through the earlier stage of the earnings season, and while they (earnings) havent been stellar, they certainly have been good, with just a few real disappointments, said Rick Meckler, president of LibertyView Capital Management in Jersey City, New Jersey. The market held back from moving higher for awhile, but the overall good earnings and M&A deals are giving greater confidence for investors to stay invested. The Dow Jones industrial average rose 77.52 points or 0.45 percent, to end at 17,138.20. The S&P 500 gained 8.29 points or 0.42 percent, to 1,981.57. The Nasdaq Composite added 9.58 points or 0.22 percent, to 4,425.97. The Dows latest milestone surpassed the record it had set on July 3. Earlier Wednesday, the Dow also hit an intraday record high at 17,139.35. After the bell, eBay Inc reported a 13 percent rise in quarterly revenue and its stock advanced 1.8 percent to $51.61 in extended-hours trading. During the regular session, a partnership struck between IBM and Apple Inc helped boost the major U.S. stock indexes. IBM will exclusively sell iPhones and iPads loaded with applications designed for business clients this fall. IBM shares gained 2.1 percent to $192.36 and gave the Dow its biggest boost, while Apple fell 0.6 percent to $94.78. S&P 500 companies profits are now expected to grow 4.8 percent in the second quarter, according to Thomson Reuters data, down from the 8.4 percent growth forecast at the start of April. Revenue is seen up 3.1 percent. About 6.12 billion shares traded on U.S. exchanges, above the 5.40 billion average for the month to date, according to data from BATS Global Markets.
Posted on: Thu, 17 Jul 2014 14:05:41 +0000