In midday trading on Monday, US equity indexes displayed a significant uptick, with the technology sector receiving a substantial boost from strong performances in chip stocks. The S&P 500 index experienced a remarkable increase of 1.3%, reaching a level of 6,018.1. Meanwhile, the Nasdaq Composite surged by 1.8%, hitting 19,975.2, and the Dow Jones Industrial Average gained 0.8%, concluding at 43,064.3.
Notably, the sectors of communication services and consumer discretionary emerged as leading gainers during this trading session. Chip stocks saw impressive gains throughout the day, particularly Micron Technology, which skyrocketed by over 11%. This performance secured Micron the title of the top gainer within both the S&P 500 and the Nasdaq Composite.
Additionally, Hon Hai Precision, also recognized as Foxconn, reported an impressive 42% year-over-year revenue increase in December, totaling NT$654.8 billion ($19.98 billion). This notable rise was highlighted in a company release published on Sunday. Foxconn plays a crucial role in manufacturing electronic products for major global corporations, including Apple, which is also a key client for Micron, whose chips are integral to Apple's operations. Turning to economic indicators, the new orders for US factory goods experienced a slight decline of 0.4% in November, aligning with expectations set by a survey conducted by Bloomberg.
This was in contrast to a revised 0.5% rise observed in October. If transportation orders—which saw a significant drop of 3%—were excluded from the calculations, new orders would have actually shown an increase of 0.2%, consistent with the previous month’s performance. The S&P Global US services index underwent a downward revision, dropping to 56.8 for December from an earlier flash reading of 58.5.
This was contrary to anticipated expectations for the index to remain unchanged, as reported by Bloomberg. Despite this revision, the December reading remains above the 56.1 level recorded in November, marking a 33-month peak. In the bond market, US Treasury yields exhibited a mixed performance throughout the trading session.
The yield on the 10-year Treasury rose by 2.3 basis points, reaching 4.62%, while the yield on the two-year note fell by 1.7 basis points, landing at 4.26%. Moreover, West Texas Intermediate (WTI) crude oil futures saw a slight uptick, increasing by 0.3% to settle at $74.17 per barrel. This upward movement in oil prices further indicates the complex interplay between different sectors within the economy and the overall market sentiment..