Tech Rally Lifts Nasdaq 3%, S&P 500 2.5%

Apr 28, 2022
Barry Adams
U.S. stocks rebounded, lifting major averages higher. The Nasdaq index jumped 3% and the S&P 500 gained 2.5%. Investors shrugged off the latest reading of economic growth indicating a decline of 1.4%.

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Stocks in New York are looking up after another wave of positive earnings. The Nasdaq Composite Index is expected to open 2% higher and Meta Platforms is 15% up in pre-market trading.

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Stocks struggle to climb higher after losing momentum in the final hour of trading. The Nasdaq jumped as high as 1.7% but closed down. Microsoft gained 5% and Google declined 4%.

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Boeing dropped on revenue miss and larger loss. CME Group jumped on higher revenues. F5 Inc outlook disappointed. NCR plunged on revenue miss and unexpected loss. CoStar quarterly revenues jumped. Visa lifted annual outlook. Skechers USA revised higher quarterly and annual outlook range.

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Benchmark indexes opened higher a day after the Nasdaq Composite index dropped to a new low in 2022. European markets rebounded and Russia halted gas deliveries to Poland and Bulgaria. In Asia, indexes in Japan and India dropped but in Shanghai rebounded.

Tech selloff intensified in the afternoon trading after nervous investors decided to sell stocks ahead of earnings. Nasdaq entered the bear territory with a loss of 21% in the year so far.

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The S&P 500 index fell 1.4% and Nasdaq Composite dropped 2% as investors await earnings from tech leaders this evening. Crude oil added 1.6% to trade above $100 a barrel and U.S. Treasury 10-year bond yield edged lower. European markets trimmed early gains.

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Stocks made a comeback in the afternoon trading after bond yields and crude oil prices eased and investors focused on the upcoming earnings from tech leaders. Twitter accepted a $4 billion deal from a company controlled by billionaire investor Elon Musk.

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The S&P 500 and Nasdaq Composite indexes extended losses to the fourth week and April month sell-off as coronavirus cases spike in China. The new tough measures in China are likely to prolong supply chain disruptions as Shanghai enters the fourth week of lockdown. Bond yields and crude oil prices ease.

Benchmark indexes extended losses for the third week in a row as investors prepare for faster rate increase and adjust economic outlook. The ongoing war in Europe and China lockdown are intensifying market uncertainties, sustaining energy price inflation, and lengthening supply chain disruptions.

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The S&P 500 and Nasdaq indexes trade lower as bond yields continue to rally and global markets adjusts to Fed's willingness to lift rates faster. European markets are down 1.5%, Nikkei fell 1.6% and the Japanese yen dropped to a 20-year low. Sensex in India drooped 1.2% as bond yields advanced.

Morning gains on Wall Street turned to losses in the afternoon and accelerated decline near close after the Fed Chairman showed a readiness to take aggressive steps in controlling elevated inflation.

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U.S. Treasury yields gained after the comments from Fed Chairman Powell increased the possibility of a 50 basis points hike at the next policy meeting in May.

The S&P 500 and Nasdaq Composite indexes are trading higher on earnings optimism. Crude oil is trading up 1% and 10-year U.S. Treasury bond yield climbed up to 2.85%.



Netflix plunged as much as 37% after the streaming service guided a loss of additional 2 million in the current quarter. Netflix's cautious outlook sparked widespread losses in other streaming services providers including Disney, Paramount and Discovery and in Internet-based growth stocks Shopify and Wayfair. NetGear regained some of the losses after reporting weaker than expected quarterly revenues. Halliburton reported 35 cents a share. Plug Power agreed to provide liquid green Hydrogen to power lift trucks at Walmart fulfillment centers.

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