Stocks surged on drop in jobless claims and strong corporate earnings, led by chip companies.

From NASDAQ: 2024-08-08 18:05:59

US stocks closed higher on Thursday, with the S&P 500 (+2.30%), Dow Jones (+1.76%), and Nasdaq 100 (+3.06%) all rising. Chip stocks led the rally. The market welcomed news of a drop in weekly jobless claims. Corporate earnings reports from Parker-Hannifin, Eli Lilly, and Datadog also helped lift stocks. Initial jobless claims fell by 17,000 to 233,000, showing a stronger labor market than expected.

The Federal Reserve is closely monitoring economic conditions. The market expects a 100% chance of a 25-bp rate cut in the September FOMC meeting. Overseas markets traded mixed, with Japan’s Nikkei down by 0.74% and the Euro Stoxx 50 up by 0.01%. Interest rates rose in response to jobless claims. Meanwhile, European government bond yields were mixed.

Stock movers included chip companies like ARM Holdings Plc, Intel, and Nvidia, which led gains. Parker-Hannifin, Eli Lilly, and Viatris also reported strong results, boosting their stocks. However, companies like McKesson, Monster Beverage, and Warner Bros Discovery saw declines in their stock prices after releasing Q2 results. Earnings reports from Dillard’s Inc, Evergy Inc, and New Fortress Energy Inc are expected on 8/9/2024.



Read more at NASDAQ: Stocks Rally Sharply on Positive US Labor Market News