Key Takeaways
- Tech stocks move Dow higher, with Intel, Cisco, Apple, and Microsoft all gaining.
- Chinese jet demand helped push Boeing higher, while Caterpillar rose on report of U.S. construction boom.
- AI announcement fails to lift shares of Salesforce.
The Dow Jones Industrial Average rose for the fifth consecutive session, moving up about 0.5%, or 178 points, as investors predict the Federal Reserve will choose to keep interest rates steady at its policy meeting this week.
Other indexes joined the Dow 30 in moving higher, including the S&P 500, which rose 0.9% to reach its highest level in 13 months. The Nasdaq jumped 1.5%.
Intel (INTC) shares climbed 5.5% to lead the Dow higher. Technology was the day’s best-performing sector, with Cisco Systems (CSCO), Apple (AAPL), and Microsoft (MSFT) all moving up more than 1%. Shares of Microsoft gained despite news that the Federal Trade Commission would seek an injunction as part of its challenge to Microsoft’s acquisition of Activision Blizzard (ATVI).
Boeing (BA) shares rose 2% after news of increased demand in China for its 737 MAX.
Shares of Caterpillar (CAT) were up more than 1% on reports that a U.S. construction boom would boost sales of excavators by 5% this year, improving further on last year’s 23%.
Chevron (CVX) fell 1.5% as oil prices fell to multi-week lows, while Goldman Sachs cut its oil price forecast on higher-than-anticipated supplies from Russia and Iran.
Salesforce (CRM) stumbled on artificial intelligence (AI) ambitions, with shares falling almost 0.8% after it unveiled an AI Cloud service and said it would double its venture capital fund for generative AI startups to $500 million.
JPMorgan Chase (JPM) finished the day unchanged, recovering from a morning slump that came after reports that it would pay $290 million to settle lawsuits related to its dealings with Jeffrey Epstein.