Key Takeaways
- The S&P 500 gained 1.1% on Wednesday, Aug. 23, 2023, as tech stocks surged and Treasury yields dipped.
- Carnival shares gained amid expectations of robust travel demand.
- Nike shares declined after Foot Locker posted weaker-than-expected results, as sales fell and consumers pulled back.
The S&P 500 gained 1.1% on Wednesday as tech stocks surged ahead of Nvidia’s (NVDA) earnings release after the bell and Treasury yields declined. The tech-heavy Nasdaq jumped 1.6%, in its third straight day of gains, while the Dow rose 0.5%.
While much of the day’s strength was concentrated in the tech sector, apparel company VF Corporation (VFC) led gains on the S&P 500, with shares up 3.9% after yesterday’s losses following its announcement of a new chief people officer.
Shares of pharmaceutical giant Merck (MRK) jumped 3.8% after Swiss rival Roche published positive interim data about a lung cancer treatment under development. Like Roche, Merck is also developing an anti-TIGIT experimental drug.
Cruise operator Carnival (CCL) also saw shares gain 3.8% amid expectations of robust growth in travel demand, and after Credit Suisse AG increased its holdings in the company.
Insulin pump manufacturer Insulet (PODD) led losses on the S&P 500, extending its decline earlier in the week. Including Wednesday’s drop, Insulet shares were down 7.7% on the week amid speculation that alternative diabetes treatments could hamper the company’s future sales.
Shares of natural gas producer EQT Corporation (EQT) fell 3.8%, amid a broad-based decline in energy stocks, the only sector to post losses on the day. Shares of Occidental Petroleum (OXY) and Marathon Oil (MRO), lost 1.7% and 1.5%, respectively.
A decline of 2.7% for shares of Nike (NKE) marked the 10th straight day of losses for the footwear and apparel giant, in its longest losing streak since the company came public more than 40 years ago. The losses came after shoe retailer Foot Locker (FL) posted weaker-than-expected results, as sales fell and consumers pulled back.
