The US stock market saw a brief respite from its recent selloff, as dip buyers stepped in to provide support. The Nasdaq 100 index rose 1.2%, with chipmakers leading the rebound, climbing 3%. This uptick came despite economic data that fueled expectations of a Federal Reserve rate hike in December.
Software shares, however, faced declines. Microsoft Corp. was reported to be scaling back an agreement to lease AI computing resources from Oracle Corp. Meanwhile, Treasury two-year yields increased, reflecting the market's anticipation of tighter monetary policy.
The market's volatile session followed a broader selloff that had shaken Wall Street in previous days. Investors appeared to be balancing between buying undervalued stocks and cautioning against further economic headwinds.