Tech Stocks Power Wall Street Gains as Oil Falls: Markets Wrap
(Bloomberg) — A rally in technology companies lifted stocks ahead of results from industry giants valued at more than $10 trillion, with traders also bracing for the Federal Reserve rate decision.
Investor enthusiasm around artificial intelligence returned, with a gauge of chipmakers rising 2.7%. The Nasdaq 100 rose 1.1%. Meta Platforms Inc.’s $25 billion stock sale ended five times oversubscribed. United Parcel Service Inc. — an economic barometer — climbed on a solid outlook. Boeing Co. sank after cutting its delivery target. Brent oil dropped below $114. Bonds wavered.
Three of the world’s biggest companies — Alphabet Inc., Microsoft Corp. and Amazon.com Inc. — are expected to show healthy growth when they report earnings this week. But for Wall Street, what really matters these days is: How much money they’re spending on AI and when it will start to pay off in a meaningful way.
“It’s going to be very interesting to see how these stocks react to their earnings/guidance,” said Matt Maley at Miller Tabak. “So far, many tech names have sold off following their reports. Therefore, given how important these companies are to the AI phenomenon, their reactions should be particularly important.”
Not all big tech stocks should be treated equally regarding future potential growth, according to Chris Brigati at SWBC.
“The period of a rising market lifting all stocks has started to shift,” he said. “Future expectations are more focused upon execution risk and how much future success is already embedded in the current stock price.”
Meantime, the Fed and its peers in the euro zone and Japan will probably keep interest rates steady this week, opting to bide their time before potential further hikes.
Fed Chairman Kevin Warsh, who’s eschewed guidance on future moves, will face a tricky test at his post-meeting press conference Wednesday. He probably won’t offer much insight about December, but may also not want to sway market bets away from the current expectation for a hike.
On the economic front, US consumer confidence unexpectedly rose in October for the first time in four months as views about the job market and business conditions improved.
Despite the increase in confidence this month, consumers remain troubled by the impact of higher prices on their budgets and on wage growth that is lagging behind inflation. Borrowing costs have also climbed more recently, making homes, vehicles and other big-ticket purchases less affordable.
Corporate Highlights:
Broadcom Inc. has arranged a $63 billion deal with Bank of America Corp., Blackstone Inc., Citigroup Inc. and Morgan Stanley to finance the purchase of chips for AI model developer Anthropic PBC. Coca-Cola Co. raised its 2026 full-year outlook on strong international demand for soda, but notched lower-than-expected sales volume in North America. PayPal Holdings Inc. raised its full-year earnings guidance amid promising growth in key business units, even as revenue missed analysts’ estimates. JetBlue Airways Corp. reassured Wall Street that it’s still on track to be profitable in the near future, despite deepening its projected operating margin loss for the current year as fuel costs soar. General Motors Co. plans to shift its stock listing to the Nasdaq Global Select Market from its longtime home on the New York Stock Exchange, an attempt to position the old-school automaker as a tech-forward company embracing automated driving and electric vehicles. Some of the main moves in markets:
Stocks
The S&P 500 rose 0.6% as of 11:23 a.m. New York time The Nasdaq 100 rose 1.1% The Dow Jones Industrial Average rose 0.1% The Stoxx Europe 600 rose 0.5% The MSCI World Index rose 0.5% Currencies
The Bloomberg Dollar Spot Index rose 0.2% The euro fell 0.3% to $1.1144 The British pound fell 0.2% to $1.3316 The Japanese yen fell 0.2% to 157.79 per dollar Cryptocurrencies
Bitcoin rose 0.9% to $80,451.35 Ether rose 1.9% to $2,347.23 Bonds
The yield on 10-year Treasuries was little changed at 4.99% Germany’s 10-year yield declined three basis points to 3.34% Britain’s 10-year yield was little changed at 5.34% Commodities
West Texas Intermediate crude fell 1.6% to $100.12 a barrel Spot gold rose 1% to $4,057.87 an ounce ©2026 Bloomberg L.P.
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