[New York Stock Exchange] S&P 500 and Nasdaq Hit New All-Time Highs Ahead of Earnings Season (Comprehensive)

All Three Major Indexes in New York Close Higher
Interest Rate Surge Pauses for Now
Strong Gains in AI-Related Stocks Also Drive the Market

On October 6 (local time), all three major U.S. stock indices closed higher. Both the S&P 500 index and the Nasdaq index set new record highs. Investor sentiment improved as U.S. Treasury yields, which had surged to the highest levels in 24 years, fell. In addition, gains in artificial intelligence (AI)-related stocks drove the markets upward.

On the New York Stock Exchange, the Dow Jones Industrial Average (Dow) rose 253.38 points, or 0.49%, closing at 51,521.28. The S&P 500 index, primarily comprised of large-cap stocks, increased by 44.98 points, or 0.58%, ending at 7,818.93. The technology-heavy Nasdaq index advanced by 122.48 points, or 0.45%, finishing at 27,599.79. This marked the first time ever that the S&P 500 index closed above 7,800.

On the 6th (local time), workers are engaged in building remodeling work at Times Square in New York, USA. New York (USA) = Reuters Yonhap News Agency.

The sharp rise in interest rates that had recently weighed on markets also paused for now. The yield on the 10-year U.S. Treasury, the global benchmark for bond yields, fell by approximately 4 basis points (1bp=0.01 percentage point) from the previous trading day to around 5.27%. The previous day, the 10-year Treasury yield had surged during trading to as high as 5.349%, hitting a 24-year peak not seen since 2002, but on this day, it stabilized somewhat. The 30-year Treasury yield also hovered around 5.63%.

Furthermore, the strength of AI-related tech stocks influenced the market. Marvell Technology, which raised its 2028 revenue outlook due to increasing demand for semiconductors for data centers, soared about 6%. Shares of AMD climbed approximately 3% after CEO Lisa Su announced that the company would substantially boost semiconductor supply next year to meet rapidly growing AI demand. Constellation Energy, which signed a long-term power contract with Google for 3.59 GW, surged more than 12%.

International oil prices ended the day with a somewhat subdued upward trend. At the ICE Futures Exchange, Brent crude for December delivery settled at $100.58 per barrel, up 0.26% from the previous session. On the New York Mercantile Exchange, West Texas Intermediate (WTI) crude for November delivery closed at $89.44 per barrel, a 0.01% increase from the previous day.

Expectations for the third-quarter earnings season, which begins next week, also supported the market. According to London Stock Exchange Group (LSEG), net income for S&P 500 companies in the third quarter is expected to rise 30.6% compared to the same period last year. The earnings growth is anticipated to be especially robust in the energy and technology sectors.

According to data released today, the U.S. trade deficit for August reached $105.6 billion (141.504 trillion won), a 13.7% increase from the previous month. Imports rose by 4.3%, marking a new record high.

The Associated Press highlighted that, despite ongoing war, high inflation, and pressures in the bond market, the S&P 500 index has risen over 20% since its trough at the end of March, noting that the steady earnings growth of U.S. companies is supporting the stock market.

This content was produced with the assistance of AI translation services.