Connect with us
DAPA Banner
DAPA Coin
DAPA
COIN PAYMENT ASSET
PRIVACY · BLOCKDAG · HOMOMORPHIC ENCRYPTION · RUST
ElGamal Encrypted MINE DAPA
🚫 GENESIS SOLD OUT
DAPAPAY COMING

Business

US stocks today: Dow soars 800 points to hit record as Iran optimism offsets chip slump, weak jobs data

Published

on

US stocks today: Dow soars 800 points to hit record as Iran optimism offsets chip slump, weak jobs data
Wall Street advanced on Thursday as ​progress toward ending the Iran war buoyed investor sentiment, while disappointing results from Broadcom led a chip selloff that held the Nasdaq’s gains in check.

The blue-chip Dow surged, hitting a record closing high with a boost from healthcare and financial stocks.

The S&P 500 posted more muted gains, while the Nasdaq ‌ended essentially unchanged. Chipmaker Broadcom ⁠missed revenue ⁠expectations, sending its shares tumbling and casting a pall over the AI frenzy, which has sent chip stocks soaring so far this year.

“About the only blemish ​on the market at this point is Broadcom, and I think investors are buying the dip,” said Paul Nolte, senior wealth adviser and market ​strategist at Murphy & Sylvest in Elmhurst, Illinois. “I don’t think investors have given up on chips yet, but what they’ve yet to come to grips with, ‘Is this real? Are these valuations legitimate?’ I’m not sure yet that investors have really questioned that.” The U.S. House of Representatives ​passed a measure on Wednesday that would block President Donald Trump from continuing ⁠the war on Iran. Additionally, ‌a U.S.-mediated ceasefire agreement between Israel and Lebanon, an essential condition of an Iranian agreement to ​a peace deal, bolstered ​optimism of a near-term resolution to the war. But the truce was rejected by the pro-Iran Hezbollah, ⁠which said it would not withdraw troops from Lebanon.

Advertisement

A drop in front-month crude ​futures reflected hopes that tanker traffic through the crucial Strait of Hormuz could shortly resume.


“How many ​deals have we had? It’s always right around the corner, a corner we’ve yet to reach,” Nolte added. “Things are moving, but are they moving at a pace that’s going to allow the world to get back to what passes for normal in a few weeks, a few months, or maybe sometime next year?”
On the economic front, initial jobless claims unexpectedly rose 6.1%, and first-quarter labor costs and productivity were revised sharply lower. A report from Challenger, Gray and Christmas showed layoffs announced by U.S. corporations jumped 11% in ‌May to 97,006. Nearly 40% of those layoffs were attributed to AI.According to preliminary data, the S&P 500 gained 31.14 points, or 0.41%, to end at 7,584.82 points, while the Nasdaq Composite lost 19.72 points, ​or 0.07%, to 26,834.26. The ​Dow Jones Industrial Average rose ⁠875.09 points, or 1.73%, to 51,562.16.

Chipmaker Marvell Technology gained, while Advanced Micro Devices, Micron Technology and Qualcomm lost ground on the day.

The healthcare sector got a boost from UnitedHealth after Bank of America raised its rating on the healthcare conglomerate’s shares to “buy.”

The financial index’s rebound ​followed a sharp selloff in the previous session due to revived concerns over private credit. Blackstone shares advanced after it became the latest asset manager to cap withdrawals from its flagship private credit fund following a rise in redemption requests. Cybersecurity firm CrowdStrike slumped after reporting an increase in quarterly operating expenses. An investor roadshow for Elon Musk-led SpaceX began on Thursday ahead of its market debut on June 12. It aims to raise $75 billion in a record IPO that would value it at $1.75 trillion.

Advertisement
Continue Reading
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Business

Govt may keep Rs 7,500 cr outlay for IT hardware manufacturing under PLI scheme

Published

on

The Economic Times
NEW DELHI: The government may keep an outlay of Rs 7,500 crore under the production linked incentive scheme for IT hardware products like personal computers, laptops, tablets and servers, according to a source aware of the development.

Foreign companies looking for incentives under the scheme may have to invest Rs 500 crore over four years, while the threshold for domestic firms is likely to be around Rs 20 crore for five years, the source who did not wish to be named said.

“Meity (Ministry of Electronics and Information Technology) will take the Cabinet approval of the detailed guidelines soon and is hopeful of rolling out the scheme from next financial year. The incentive outlay is likely to be around Rs 7,500 crore,” the source said.

The government has announced a cumulative production linked incentive of Rs 2 lakh crore for 10 sectors to encourage domestic manufacturing after seeing traction of global giants like Apple’s contract manufacturers, Samsung etc for the scheme in the mobile devices segment.

Advertisement

According to mobile devices industry body ICEA, India has the potential to scale up its cumulative laptop and tablet manufacturing capacity to over Rs 7 lakh crore by 2025 through policy interventions.

Scaling up laptop and tablet PC manufacturing can take the share of India in the global market to 26 per cent from 1 per cent at present.