Nasdaq jumps 2%, Dow up 305 points in tech-led rally
Disney and Uber earnings are due after bell
Adviser Investments CIO Jim Lowell argues investors don’t want to purchase ETFs and suggests buying ‘inside basket’ in a ‘selective manner.’
U.S. stocks turned in a strong rally to close higher across the board led by large cap technology names.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| I:DJI | DOW JONES AVERAGES | 41794.6 | -257.59 | -0.61% |
| SP500 | S&P 500 | 5712.69 | -16.11 | -0.28% |
| I:COMP | NASDAQ COMPOSITE INDEX | 18179.984429 | -59.93 | -0.33% |
The Dow Jones Industrial Average tacked on over 300 points or 0.8%, while the S&P 500 and Nasdaq Composite rose by 1.5% and 2%, respectively.
Large-cap tech, including Facebook, Microsoft and Nvidia, helped drive tech, as did Microsoft and Intel.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| FB | NO DATA AVAILABLE | - | - | - |
| MSFT | MICROSOFT CORP. | 408.46 | -1.91 | -0.47% |
| NVDA | NVIDIA CORP. | 136.05 | +0.65 | +0.48% |
| MSFT | MICROSOFT CORP. | 408.46 | -1.91 | -0.47% |
| INTC | INTEL CORP. | 22.52 | -0.68 | -2.93% |
Peloton remained in focus after announcing 2,800 job cuts amid a restructuring that cost CEO John Foley his job. On Wednesday, Foley handed the reins over to Barry McCarthy as he moves to the role of executive chair. Shares rose 4% on the day.
PELOTON REMOVES CEO JOHN FOLEY, SLASHES SALES OUTLOOK, JOB CUTS PLANNED
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| PTON | PELOTON INTERACTIVE INC. | 7.51 | +0.26 | +3.59% |
In earnings, CVS in focus after COVID-19 vaccines and the return of customers to stores to pick up prescriptions helped profits jump 33% to nearly $1.3 billion in the final quarter of 2021.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| CVS | CVS HEALTH CORP. | 54.65 | -1.16 | -2.08% |
But the drugstore chain and pharmacy benefit manager did not raise the 2022 forecast it laid out in December, and shares slid.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| CMG | CHIPOTLE MEXICAN GRILL INC. | 56.38 | -2.21 | -3.77% |
Chipotle shares rose after profits and sales were stronger than expected plus the Mexican food chain is planning to open more stores in smaller towns.
Lyft also reported a 70% jump in revenue but delivered a cautious outlook.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| LYFT | LYFT INC. | 13.58 | +0.10 | +0.74% |
Toyota's profit slipped nearly 6% last quarter, the Japanese automaker said Wednesday, highlighting the headwinds automakers are facing in a computer chips crunch caused by the coronavirus pandemic.
TOYOTA MOTOR’S THIRD-QUARTER NET PROFIT FALLS 5.6% AS PARTS SHORTAGE HURTS SALES
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| TM | TOYOTA MOTOR CORP. | 172.70 | -0.13 | -0.08% |
| HON | HONEYWELL INTERNATIONAL INC. | 207.54 | -1.65 | -0.79% |
Honda’s profit dropped 32% in the last quarter as rising material costs and a shortage of computer chips hurt the Japanese automaker.
After the bell, media giant Disney and Uber will report, as well as MGM Resorts and Mattel.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| DIS | THE WALT DISNEY CO. | 95.79 | -0.02 | -0.02% |
| UBER | UBER TECHNOLOGIES INC. | 73.25 | 0.00 | 0.00% |
| MGM | MGM RESORTS INTERNATIONAL | 36.40 | -0.01 | -0.03% |
| MAT | MATTEL INC. | 20.01 | +0.10 | +0.50% |
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Investors are also looking ahead to U.S. inflation data out Thursday for signs of how quickly the Fed might pull back record-low interest rates and other stimulus to try to cool surging prices.
Bitcoin moved above the $44 level.
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In energy markets, benchmark U.S. crude slipped to $89.66 per barrel.
FOX Business' Ken Martin and The Associated Press contributed to this report.