Stock Market Today: Dow Ends Losing Streak as Tech Sidesteps Larger Rate-Hike Bets

Dow Ends Losing Streak as Tech Sidesteps Larger Rate-Hike Bets By Investing.com


© Reuters

By Yasin Ebrahim

Investing.com — The Dow snapped a three-week losing streak Friday as technology sidestepped the ongoing chorus of hawkish Federal Reserve remarks that have pushed up the odds of a larger September rate hike and extended the melt-up in Treasury yields.

The rose 1.5%, the gained 1.2%, or 377 points, the was up 2.1%.

Big tech and chip stocks combined to help push the broader tech sector more than 2% higher even as the latest remarks from Fed officials continued the trend of rising treasury yields, which is typically a drag on tech.

Federal Reserve Governor Christopher Waller called for “another significant increase in the policy rate,” later this month.

The remarks arrived just a day after chairman Jerome Powell vowed to persist with rate hikes “until the job [on reducing inflation] is done.”

The hawkish wave of remarks from Fed officials this week has pushed the odds of a 75-basis point rate hike to 91% from 57% the prior week, according to Investing.com’s .

Energy also played a big role in the broader market melt-up helped by advancing following recent reports suggesting the Biden administration is mulling whether to stop releasing oil from the US Strategic Petroleum Reserve after October.

Halliburton Company (NYSE:), EOG Resources Inc (NYSE:), and Baker Hughes Co (NASDAQ:) led the gains in energy, with the latter up more than 5%.

The earnings front also provided ammunition for bullish bets on stocks as Docusign and Zscaler surged.

Zscaler (NASDAQ:) reported that topped Wall Street estimates on both the top and bottom lines, sending its shares up more than 21%.

DocuSign (NASDAQ:), meanwhile, delivered a better-than-expected Q3 outlook after reporting that were ahead of estimates.

In other news, construction equipment maker Caterpillar (NYSE:) said it had reached a settlement to resolve a multiyear tax dispute with the Internal Revenue Service.

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