Dow jumps about 300 points as investors await jobs report
U.S. stocks closed higher Wednesday; the Dow rose about 295 points, while ADP private payrolls increased 38,000 in August, below the 47,000 consensus, and August nonfarm payrolls are due Friday.
The CNN Money Fear and Greed Index rose in overall market sentiment, though it stayed in the “Fear” zone on Wednesday. U.S. stocks finished higher on Wednesday, with the Dow Jones index up almost 300 points during the session. The U.S.
said it launched overnight airstrikes on Iranian targets, Tehran retaliated, and reports of hits on tankers near the strait kept a war premium embedded in crude. On the economic data front, ADP said private payrolls rose 38,000 in August, the weakest since January and below the 47,000 consensus, while July factory orders increased 0.9% versus the 0.6% expected. Data on nonfarm payrolls for August will be released on Friday. NVIDIA Corp.
(NASDAQ: NVDA) surged 3.2% on reports it is in advanced talks to acquire Hugging Face for $14 billion. Gitlab Inc. (NASDAQ: GTLB) shares jumped 10% after the company reported better-than-expected second-quarter financial results and issued third-quarter guidance above estimates. Dell Technologies Inc.
(NYSE: DELL) gained around 16% after the company reported better-than-expected second-quarter financial results and issued current-quarter guidance above estimates. Most S&P 500 sectors finished Wednesday in positive territory, led by communication services, materials and health care. Real estate was the lone sector to close lower. The Dow Jones closed up about 295 points at 53,061.95.
The S&P 500 rose 0.46% to 7,666.60, and the Nasdaq Composite gained 0.45% to 26,217.83. Investors were awaiting earnings results from Campbell’s Co (NASDAQ: CPB), Ciena Corp (NYSE: CIEN) and Lululemon Athletica Inc (NASDAQ: LULU) later in the day. The CNN Business Fear & Greed Index stood at 33 on Wednesday, in the “Fear” zone, versus 31 previously. The index runs from 0 to 100, with 0 indicating maximum fear and 100 maximum greediness.
It is based on seven equal-weighted indicators.