NEW YORK (AP) – Technology stocks led a broad rally on Wall Street Tuesday during holiday-shortened trading ahead of Christmas.
The S&P 500 rose 1.1%, marking its third straight year of gains. The Dow Jones Industrial Average rose 0.9%, and the tech-heavy Nasdaq Composite Index rose 1.3%.
Big Tech companies such as Apple, Amazon and semiconductor company Broadcom helped lift the market, but the gains were broad-based.
Advancing issues outnumbered declining issues on the New York Stock Exchange by more than 3 to 1.
Broadcom rose 3.2%, Apple rose 1.1% and Amazon closed 1.8%. Super microcomputers rose 6%.
Tesla rose 7.4%, the biggest gain among the S&P 500 stocks.
American Airlines shook off an early decline to end up 0.6% after it temporarily suspended flights across the U.S. due to technical issues.
In other markets, U.S. Steel was 1.9 on the day after an influential government committee failed to reach an agreement on potential national security risks from Japan’s proposed sale of about $15 billion to Nippon Steel. % rose.
Neue Health soared 74.9% after the company agreed to be taken private in a deal worth about $1.3 billion.
Overall, the S&P 500 rose 65.97 points to 6,040.04. The Dow rose 390.08 points to 43,297.03 and the Nasdaq rose 266.24 points to 20,031.13.
In the bond market, US Treasury yields stabilized. The 10-year government bond yield was little changed at 4.59%.
European markets ended mostly higher. The Asian market mainly expanded its base.
Tuesday’s rally in U.S. markets comes as the stock market enters a historically very positive season. The last five business days of each year and the first two business days of a new year have produced an average increase of 1.3% since 1950. The so-called “Santa Rally” is also closely correlated with positive returns in January and next year.
So far this month, U.S. stock markets have shed some of their gains since President-elect Donald Trump’s victory on Election Day, which raised hopes for faster economic growth and deregulation to boost corporate profits. . There are growing concerns that President Trump’s tariffs and other policy priorities could lead to higher inflation, higher U.S. government debt and difficulties in global trade.
Still, the stock market remains on pace to deliver strong returns into 2024. The benchmark S&P 500 index is up 26.6% since the beginning of the year, staying within about 1% of its all-time high (of the last 57 indexes) reached earlier this month. This year’s record is the highest ever.
US markets will be closed on Wednesday for Christmas.
Wall Street is looking forward to some economic reports this week, including Thursday’s weekly update on unemployment benefits.
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