U.S. stocks experienced modest gains with the Dow Jones Industrial Average rising by 68.04 points (0.16%) to 42225.01 points. The Nasdaq Composite increased by 51.52 points (0.29%) to 17961.88 points, and the S&P 500 index climbed by 7.36 points (0.13%) to 5716.11 points.
Chinese stocks listed in the U.S. broadly rose, with the Nasdaq Golden Dragon China Index surging around 3%. Despite the rise, short-sellers of Chinese stocks faced significant losses, estimated at approximately $6.9 billion in market value due to China's rally driven by stimulus policies.
Nike's stock price dropped sharply after announcing a change in CEO and withdrawing its annual performance guidance. Meanwhile, technology stocks like Nvidia underperformed for the second consecutive day.
The ADP employment report showed U.S. private sector jobs increased by 143,000 in September, surpassing expectations of 125,000. This contrasted with other indicators suggesting a cooling labor market, indicating a potential rebound in job growth.
Investors remain cautious due to escalating tensions in the Middle East and the significant strike by dockworkers on the U.S. East Coast and Gulf Coast. These factors add to the market's uncertainty, contributing to the Chicago Board Options Exchange's Volatility Index (VIX) remaining above 19.
Oil prices continued to rise, with West Texas Intermediate crude increasing by 3%, echoing the previous day's trend due to Middle East conflicts.
Tesla's third-quarter vehicle deliveries fell short of expectations, with 462,890 cars delivered, slightly below the anticipated 469,828 units. Production in the quarter was reported at 443,668 units.
Apple's latest iPhone 16 series faced lower-than-expected initial global sales, which is anticipated to negatively impact display manufacturer LG Display’s performance in the second half of 2024.
Nike saw its target price downgraded by JPMorgan from $80 to $77, citing risks from the East Coast port strike.
Meta Platforms announced plans to expand its AI innovation investments in Vietnam, including producing the latest VR devices starting in 2025.
