US equity indexes experienced notable gains as government bond yields fluctuated, with investors assessing mixed services data in light of polling near the booths. The S&P 500 surged by 1.2% to 5,778.2, accompanied by a 0.9% increase in the Dow Jones Industrial Average, which reached 42,183.4, and a 1.5% rise in the Nasdaq Composite to 18,439.5.
Every sector recorded intraday increases, prominently featuring technology, consumer discretionary, and industrials as leading performers. In contrast, the US Dollar index witnessed a decline of 0.4%, settling at 103.52. The majority of US Treasury yields rose, notably the 10-year yield, which increased by 4.6 basis points to 4.36%, while the two-year rate climbed 5.4 basis points to 4.23%. Market participants are intently observing pivotal swing states as the US approaches election day and the commencement of ballot counting.
Currently, Vice President Kamala Harris holds a slim advantage over the former president and Republican nominee, Donald Trump, as indicated by the RealClearPolitics national poll average. Wells Fargo Investment Institute commented, "The US presidential election likely will be decided by a few thousand voters across a handful of swing states." On the economic front, the Institute for Supply Management reported that the US services index improved to 56.0 in October from 54.9 in September, surpassing expectations that predicted a decrease to 53.8 in a survey conducted by Bloomberg.
Meanwhile, the S&P Global US services index was revised down to 55.0 in October from an initial flash reading of 55.3, contrasting with predictions for no revision. Although the October index fell short of the 55.2 recorded in September, it continues to suggest sector growth consistent with the regional services data that has been released. In corporate news, Palantir Technologies reported its Q3 adjusted earnings at $0.10 per share, an increase from $0.07 the previous year and exceeding the Capital IQ consensus of $0.09.
Revenue for Q3 climbed to $725.5 million, rising from $558.2 million in the prior year period and surpassing the Capital IQ consensus estimate of $703.7 million. Consequently, shares of Palantir Technologies soared by 22% during intraday trading, marking it as the top gainer within the S&P 500. West Texas Intermediate crude oil also demonstrated significant movement, increasing by 1.6% to $72.58 a barrel..