Wall Street's main indexes ended with big gains on Friday, boosted by heavyweight tech and growth stocks as Treasury yields calmed, while investors looked ahead to a next week's reports on inflation and other economic data.
Market Snapshot
The Dow Jones Industrial Average rose 391.16 points, or 1.15%, to 34,283.1, the S&P 500 gained 67.89 points, or 1.56%, to 4,415.24 and the Nasdaq Composite gained 276.66 points, or 2.05%, to 13,798.11.
Market Movers
Microsoft Stock jumped 2.49% to $369.67 on Friday, reaching an all-time high. It surpassed the previous high of $366.78 established July 18, 2023.
Plug Power (PLUG), the hydrogen fuel cell specialist, reported a third-quarter loss wider than a year earlier and revenue that missed analysts’ expectations. Plug Power said it “has been negatively impacted by unprecedented supply challenges in the hydrogen network in North America.” Plug Power said it might not be able to fund its operations through the next 12 months from its existing resources and said that raised “substantial doubt about [its] ability to continue as a going concern.” The stock sank 40%.
Shares of Trade Desk (TTD) tumbled 17% after the internet advertising platform company’s outlook for the fourth quarter missed analysts’ expectations. Trade Desk said it expects revenue in the period of at least $580 million, below estimates of $610 million. It also forecast adjusted earnings before interest, taxes, depreciation, and amortization of approximately $270 million, below Wall Street estimates of $291 million.
Doximity (DOCS), the online platform for medical professionals, raised its full-year outlook and said its board authorized the repurchase of up to $70 million of common stock over the next 12 months. Shares rose 16%.
Illumina (ILMN), the DNA sequencing company, said it expects revenue to fall between 2% and 3% in 2023, compared with previous projections for growth of about 1%, and sees adjusted earnings of 60 cents to 70 cents a share, lower than prior expectations of 75 cents to 90 cents. The stock declined 8%.
Casino operator Wynn Resorts (WYNN) reported third-quarter adjusted earnings of 99 cents a share, beating estimates of 74 cents. Revenue rose to $1.67 billion from $889.7 million a year earlier. Wynn reached a tentative deal with the Culinary and Bartenders unions, averting a strike that was set to begin Friday. The stock fell 5.7%.
Semiconductor company Synaptics (SYNA) rose 11% after fiscal first-quarter adjusted earnings and revenue exceeded analysts’ estimates.
U.S.-listed shares of Diageo (DEO) were falling 12% after the maker of Johnnie Walker whisky, Tanqueray gin, Smirnoff vodka and Guinness beer said it expects growth to slow in the first half of its fiscal year on weaker performance in Latin America and the Caribbean.
Groupon (GRPN) tanked 35% after interim CEO Dusan Senkypl said the e-commerce company’s “business continues to be challenged.” The company said it was reinstating formal guidance and expects fourth-quarter revenue to decline 7% to 14%. Groupon also announced plans to raise about $100 million between a fully backstopped equity rights offering and non-core asset sales.
Hologic (HOLX) rose 7.3% after the medical technology company’s fiscal fourth-earnings and revenue beat Wall Street expectations. The stock was the S&P 500 ‘s best performer on Friday.
Market News
Biden, Xi Set to Meet Nov. 15 on Sidelines of APEC Summit
President Joe Biden will sit down with his Chinese counterpart, Xi Jinping, on Nov. 15, senior administration officials announced Thursday, the first conversation between the two leaders in a year.
The long-anticipated meeting is intended to stabilize ties between the countries, affording Biden and Xi the opportunity to discuss in-person the issues affecting the relationship as well as broader global concerns. US officials have downplayed expectations for any clear breakthroughs and stressed that the focus is on clearing up misperceptions in the bilateral relationship.
Apple Set to Challenge Latest EU Crackdown on Big Tech Dominance
Apple Inc. is set to challenge the European Union’s fresh crackdown on Big Tech’s dominance in the first of what is expected to be several appeals against the Digital Markets Act.
The company will dispute the EU regulator’s decision to put all of the App Store into the bloc’s new digital antitrust list. It’ll argue also its iMessage service shouldn’t be subject to closer scrutiny from regulators, according to people familiar with the matter.
Apple’s appeal is still in draft form and could change before the Nov. 16 deadline to file challenges at the EU’s General Court, the people said who asked not to be identified because the matter is private. Apple and the European Commission didn’t immediately respond to requests for comment.
