Tech Stocks Lead Wall Street Rebound Amid Oil Price Stability
Wall Street stocks rebounded from a downbeat start to the week on Wednesday as big technology companies like Dell and Palo Alto Networks reported strong profits. The AI boom has been driving the S&P 500's gains this year, with investors welcoming encouraging signals about demand for artificial intelligence computing.
Dell Technologies saw its shares surge by 15.8% after reporting accelerating demand for AI computing and raising its fiscal-year revenue outlook. Other big tech companies tied to the AI boom also rallied, including chipmaker Nvidia, which rose 3.2%, and computer memory seller Micron Technology, which gained 2.4%.
The US war with Iran has been intensifying, but oil prices remained relatively steady despite the conflict's impact on global shipping costs and inflation. The price of Brent crude rose 1% to settle at $US95.63 per barrel, while US oil climbed 0.9% to settle at $US91.01 per barrel.
The jobs market is a key focus for Wall Street and the Federal Reserve, with payrolls processing firm ADP reporting that private-sector employment slipped in August. The government's broader employment report for August will be released on Friday, which will provide further insight into the labour market.