NEW YORK: Wall Street stocks advanced early Wednesday (Feb 25), extending a rebound in tech shares ahead of Nvidia earnings as markets digested US President Donald Trump’s address to Congress.
The tech-centred Nasdaq led Tuesday’s rally as markets adopted a less fearful view of the impact of artificial intelligence on legacy technology companies.
“The big question is whether the bulls can grab back the reins and drive equities to new all-time highs, or whether the top is in and the bears take control,” said David Morrison, senior market analyst at Nominis Advisory.
About 45 minutes into trading, the Dow Jones Industrial Average was up 0.2 per cent at 49,266.89.
The broad-based S&P 500 gained 0.5 per cent to 6,923.37, while the tech-rich Nasdaq Composite Index gained 1.0 per cent to 23,098.55.
Analysts said the market largely shrugged off Trump’s State of the Union address Tuesday night in which the US president sought to paint a rosy picture of his achievements in his longest-ever speech to Congress.
Among individual companies, Nvidia rose 1.7 per cent ahead of earnings later Wednesday. The chip company is projected to report a whopping US$35.8 billion in quarterly profits, according to S&P Capital IQ.