US equity indexes experienced a positive session as government bond yields fluctuated amidst mixed services data and polling concerns. The S&P 500 rose by 1.2%, reaching 5,778.2, while the Dow Jones Industrial Average increased by 0.9% to 42,183.4, and the Nasdaq Composite saw a 1.5% uptick to 18,439.5.
All sectors showed intraday gains, with technology, consumer discretionary, and industrials leading the way. In foreign exchange, the US Dollar index dipped by 0.4%, settling at 103.52. On the bonds front, most US Treasury yields moved upward, highlighted by the 10-year yield rising 4.6 basis points to 4.36%, and the two-year rate advancing by 5.4 basis points to 4.23%. As election day unfolds with ballot counting in play, Wall Street turns its focus on key swing states.
The Democratic nominee for president, Vice President Kamala Harris, holds a narrow lead over Donald Trump, the Republican contender, as per the RealClearPolitics national poll average. Wells Fargo Investment Institute noted, "The US presidential election likely will be decided by a few thousand voters across a handful of swing states." In the realm of economic indicators, the Institute for Supply Management reported that the US services index increased to 56.0 in October, up from 54.9 in September, contrary to expectations that predicted a drop to 53.8, based on a Bloomberg survey. Additionally, the S&P Global US services index was adjusted downward to 55.0 in October, a decrease from the earlier flash reading of 55.3, rather than remaining unchanged as anticipated.
This October figure is below September's reported 55.2 but still signifies sector expansion that aligns with most regional services data released earlier. From the corporate sphere, Palantir Technologies ($PLTR) disclosed its Q3 adjusted earnings late Monday, reporting $0.10 per share, which is an increase from $0.07 the previous year and surpassing the Capital IQ consensus estimate of $0.09.
Q3 revenue reached $725.5 million, up from $558.2 million year-over-year, also exceeding the Capital IQ consensus of $703.7 million. Consequently, the company’s stock skyrocketed by 22% intraday, making it the leading gainer in the S&P 500. In commodity news, West Texas Intermediate crude oil saw a surge of 1.6%, trading at $72.58 a barrel..