The tech-heavy Nasdaq led the way higher jumping 255.02 points (1.1%) to 23,043.38 while the S&P 500 climbed 39.13 points (0.6%) to 6,753.72. The narrower Dow ended the day little changed, edging down 1.20 points or less than a tenth of a percent to 46,601.78.
Wall Street saw solid gains, driven partly by a 2.2% surge in Nvidia (NVDA) shares to a record high after CEO Jensen Huang told CNBC that demand for AI computing has risen substantially over the past six months. Investors brushed off concerns about the ongoing U.S. government shutdown, now in its eighth day, as political gridlock over extending enhanced Obamacare tax credits persists.
Stocks maintained momentum even after the Federal Reserve’s September meeting minutes revealed differing opinions on monetary policy. While most officials agreed further easing could be appropriate this year, others favored a cautious stance given current financial conditions.
Computer hardware stocks substantial moved upwards, driving the NYSE Arca Computer Hardware Index up by 4.3% to a record closing high. Networking and semiconductor stocks also turned in strong performances, contributing to the jump by the tech-heavy Nasdaq. Gold stocks were considerably strong amid a continued surge by the price of the precious metal, with the NYSE Arca Gold Bugs Index shooting up 2.8%. Steel and airline stocks notable moved upside while banking stocks were weak.
Asia-Pacific stocks moved mostly lower. Japan's Nikkei 225 Index and Hong Kong's Hang Seng Index both fell by 0.5% while Australia's S&P/ASX 200 Index edged down by 0.1%. the major European markets moved upwards while the French CAC 40 Index jumped by 1.1%, the German DAX Index advanced by 0.9% and the U.K.'s FTSE 100 Index climbed by 0.7%.
In the bond market, treasuries pulled back near the unchanged line after seeing initial strength. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, crept up by less than a basis point to 4.12% after hitting a low of 4.09%.