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Wall Street Reaches More Records 01/06 15:27
Broad gains led by technology stocks pushed Wall Street to more records.
NEW YORK (AP) -- Broad gains led by technology stocks pushed Wall Street to
more records. The S&P 500 set another all-time high Tuesday. The gains mirror
much of the action from the previous year, when big technology stocks often
drove the market to a series of records. The S&P 500 climbed 0.6%, driven by
more gains from tech giants including Microsoft and Amazon. The Dow Jones
Industrial Average added 1%, and the Nasdaq composite climbed 0.6%. Markets get
several updates on the job market this week that could shed more light on where
the economy and interest rates are heading.
THIS IS A BREAKING NEWS UPDATE. AP's earlier story follows below.
NEW YORK (AP) -- Stocks rose on Wall Street Tuesday afternoon and approached
more all-time highs.
The S&P 500 added 0.6% and is hovering around the record it set in late
December. The Dow Jones Industrial Average rose 482 points, or 1%, after
setting a record on Monday. The Nasdaq composite rose 0.6% as of 3:01 p.m.
Eastern.
Big tech companies were making some of the most notable moves.
Amazon, which has reach into both retail and technology, surged 3.7%. It is
one of the most valuable companies in the world and its outsized stock
valuation helped counter losses elsewhere in the market, including a 1.7% loss
from Apple.
Micron Technology rose 8.8%, also helping to lift the market.
Nvidia, which is often the biggest force behind the market's direction,
wavered throughout the day and was down most recently by 0.2%.
Sandisk surged 25.8% for the market's biggest gain. The stock's value has
jumped more than 800% since spinning off from Western Digital last February.
The gains have been driven by artificial intelligence and the resulting demand
for data-storage hardware. Western Digital rose 17.2%.
Technology companies, especially those focused on artificial intelligence,
are being closely watched this week during the industry's annual CES trade show
in Las Vegas.
AI advances helped propel the broader market to a series of records in 2025.
Investors will be watching companies for any updates that could shed more light
on the big corporate investments in AI technology.
The price of benchmark U.S. crude oil fell 2% to $57.13 per barrel, pulling
back from sharp gains a day prior when the market reacted to U.S. forces
capturing Venezuelan President Nicols Maduro in a weekend raid. The price of
Brent crude, the international standard, fell 1.7% to $60.70 per barrel.
Treasury yields rose in the bond market. The yield on the 10-year Treasury
climbed to 4.18% from 4.15% late Monday. The yield on the two-year Treasury,
which moves more closely with expectations for what the Federal Reserve will
do, rose to 3.48% from 3.45% late Monday.
Gold prices rose 1% and silver prices rose 5.7%. Such assets are often
considered safe havens in times of geopolitical turmoil. The metals have
notched record prices over the last year amid lingering economic concerns
brought on by conflicts and trade wars.
Markets in Europe and Asia gained ground.
Outside of company announcements, Wall Street is preparing for several
updates on the U.S. labor market this week, along with reports on the services
sector and consumer sentiment. They will help paint a clearer picture of how
vital parts of the economy closed out 2025 and the direction they could take in
2026.
On Wednesday, the U.S. government will release its report on job openings
for November. The October report showed that U.S. job openings had barely
budged. Weekly unemployment data will be released on Thursday and the broader
monthly employment report, for December, will be released on Friday.
Outside of the employment reports, the Institute for Supply Management will
release its latest services sector update on Wednesday, while the University of
Michigan will release its latest consumer sentiment survey Friday. They are
both widely monitored because the services sector makes up the bulk of the U.S.
economy, and consumer sentiment has been shaky under the weight of higher
prices and economic uncertainty.
The Fed will be analyzing all of that data and more ahead of its next
meeting in late January. The central bank cut its benchmark interest rate three
times late in 2025 to try and counter the economic impact of a softer jobs
market. Lower interest rates on loans can help bolster economic activity.
Cutting rates also risks fueling inflation at a time when it remains
stubbornly above the Fed's 2% target and could potentially reheat. Rising
inflation could counter any benefit from lower interest rates and weigh more
heavily on the economy.
Wall Street expects the Fed to hold interest rates steady at its January
meeting.
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