All of the three US major indices finished higher as investors continue to buy the dips in tech shares. The Dow Jones Industrial Average was up 0.48%, the S&P 500 gained 0.92%, and the Nasdaq added 1.41%.
Markets were not surprised by Federal Reserve chair Jerome Powell's congressional testimony either, where he indicated the start of a tightening of the monetary cycle and unwinding of the balance sheet.
Eight out of 11 sectors in the S&P 500 closed higher. Tech and energy stocks rose 1.14% and 3.29% respectively, leading the gains of the broader market. All of the big tech companies were up. Amazon rose 2.28%, while Apple and Meta gained more than 1%.
Microsoft and Alphabet gained 0.20% and 0.69% respectively. The chip makers had a strong session too. Nvidia rose near 1%, and AMD was up 3.75%. Tesla finished flat at $1,058.91.
Most of the beaten-up tech shares including Twitter, PayPal, and Snap all closed in the green, up between 3 and 4%. Airline stocks continue to rise, as Dela Airlines and the US Global Jets ETF were both up more than 1%.
Crude oil prices jumped after the EIA forecast a $4 lift per barrel in the crude oil price estimate in 2022, when the organisation issued its short-term energy outlook for January. WTI futures price surged 4.09%, to $81. 43 per barrel, the highest since November 2021, while Brend crude oil was up 3.49%, to $83.70.
The 10-year treasury yield cooled down to 1.74% from 1. 76 the previous day. Gold futures jumped $23.3, to $1,822 per ounce. The US dollar index fell 0.39%, to 95.612.
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