US close: Stocks sharply higher as chip stocks rally

(Sharecast News) - Wall Street closed sharply higher on Wednesday after chip stocks delivered solid gains. At the close, the Dow Jones Industrial Average was up 1.09% at 39,721.36, while the S&P 500 advanced 1.02% to 5,633.91 and the Nasdaq Composite saw out the session 1.18% firmer at 18,647.45.

The Dow closed 429.39 points higher on Wednesday, easily reversing losses recorded in the previous session.

Federal Reserve chairman Jerome Powell told the Senate Banking Committee on Tuesday that reducing policy restraint too late or too little could "unduly weaken" economic activity and employment.

He also told Congress that: "More good data would strengthen our confidence that inflation is moving sustainably toward 2%." Powell continued his two-day testimony on Wednesday, this time in front of the House Financial Services Committee, with his comments fuelling hopes of an interest rate cut during H2.

On the macro front, mortgage applications dipped 0.2% in the first week of July, according to the Mortgage Bankers Association. Applications to refinance a mortgage fell 2% week-on-week, while applications to purchase a home rose 1% on the previous week.

In the corporate space, chip stocks led Wednesday's gains, with Taiwan Semiconductor, Qualcomm, Broadcom and Nvidia all trading higher on the session.

Reporting by Iain Gilbert at Sharecast.com

Dow Jones - Risers

Walgreens Boots Alliance, Inc. (WBA) $11.26 4.36% Home Depot Inc. (HD) $344.18 2.10% Travelers Company Inc. (TRV) $207.19 1.99% 3M Co. (MMM) $101.67 1.99% McDonald's Corp. (MCD) $250.49 1.90% Apple Inc. (AAPL) $232.98 1.88% Amgen Inc. (AMGN) $321.67 1.82% Unitedhealth Group Inc. (UNH) $500.93 1.79% Johnson & Johnson (JNJ) $149.43 1.62% Microsoft Corp. (MSFT) $466.25 1.46%

Dow Jones - Fallers

Visa Inc. (V) $263.00 -0.92% Verizon Communications Inc. (VZ) $41.08 -0.53% Walt Disney Co. (DIS) $96.97 -0.08% Dowdupont Inc. (DWDP) $0.00 0.00% Salesforce.Com Inc. (CRM) $252.59 0.06% JP Morgan Chase & Co. (JPM) $207.80 0.08% Nike Inc. (NKE) $72.54 0.11% Coca-Cola Co. (KO) $62.83 0.22% Dow Chemical Co. (DOW) $51.71 0.25% Boeing Co. (BA) $184.04 0.27%

S&P 500 - Risers

Nektar Therapeutics (NKTR) $1.33 8.13% Albemarle Corp. (ALB) $96.90 7.11% Carmax Inc. (KMX) $76.93 6.46% Brighthouse Financial, Inc. (BHF) $46.47 6.27% Illumina Inc. (ILMN) $113.17 6.08% Leggett & Platt Inc. (LEG) $11.25 5.44% Qorvo, Inc. (QRVO) $124.95 4.39% Walgreens Boots Alliance, Inc. (WBA) $11.26 4.36% Skyworks Solutions Inc. (SWKS) $110.82 4.14% Micron Technology Inc. (MU) $136.39 4.00%

S&P 500 - Fallers

HF Sinclair Corporation (DINO) $47.53 -2.96% Intuit Inc. (INTU) $632.84 -2.70% Gap Inc. (GPS) $22.68 -2.54% Mastercard Incorporated (MA) $433.64 -2.49% Estee Lauder Co. Inc. (EL) $102.21 -1.92% VF Corp. (VFC) $12.74 -1.85% Kohls Corp. (KSS) $21.99 -1.79% Bath & Body Works, Inc. (BBWI) $36.49 -1.72% Darden Restaurants Inc. (DRI) $138.06 -1.59% Dollar Tree Inc (DLTR) $102.48 -1.49%

Nasdaq 100 - Risers

Illumina Inc. (ILMN) $113.17 6.08% Walgreens Boots Alliance, Inc. (WBA) $11.26 4.36% Skyworks Solutions Inc. (SWKS) $110.82 4.14% Micron Technology Inc. (MU) $136.39 4.00% Microchip Technology Inc. (MCHP) $95.98 3.94% Asml Holdings N.V. (ASML) $1,098.95 3.68% J.B. Hunt Transport Services Inc. (JBHT) $159.81 2.75% Analog Devices Inc. (ADI) $238.33 2.72% Nvidia Corp. (NVDA) $134.91 2.69% Baidu Inc. (BIDU) $97.94 2.66%

Nasdaq 100 - Fallers

Trip.com Group Limited (TCOM) $48.99 -3.77% NetEase Inc. Ads (NTES) $90.10 -3.68% Intuit Inc. (INTU) $632.84 -2.70% Dollar Tree Inc (DLTR) $102.48 -1.49% Fiserv Inc. (FI) $148.89 -1.46% Netflix Inc. (NFLX) $677.65 -1.18% Mercadolibre Inc. (MELI) $1,703.55 -1.07% Wynn Resorts Ltd. (WYNN) $83.91 -1.00% Biomarin Pharmaceutical Inc. (BMRN) $82.29 -0.83% Henry Schein Inc. (HSIC) $64.18 -0.40%