By Callum Keown
The tech stock rebound is accelerating.
Futures on the Nasdaq 100 jumped 0.5% early Wednesday after the technology-heavy Nasdaq Composite Index closed 1.6% higher in the previous session. The index has had its largest two-day gain since February.
The so-called Magnificent 7 group of stocks were leading the way ahead of the open of trading, with Tesla surging 10.5% after its first-quarter earnings. Nvidia rose 1.7%, continuing its comeback after the chip maker's shares tumbled 10% Friday.
Meta Platforms stock also was in focus, climbing more than 2%. The parent of Facebook and Instragram is due to report earnings after markets close Wednesday. Amazon, Apple, Alphabet, and Microsoft also were rising Wednesday.
The broader chip sector also enjoyed a boost. Texas Instruments jumped 7% and was the second best-performer in the S&P 500 after Tesla, as the chip maker beat earnings estimates in its first quarter. ON Semiconductor, which like Texas Instruments makes chips for the autos sector, rose 4.6% in premarket trading, and NXP Semiconductors was up 2.4%.
There also were gains of more than 1% for Advanced Micro Devices and Micron Technology, while Intel rose 0.9%.
Artificial-intelligence server maker Super Micro Computer jumped 3%. KeyBanc analysts, led by Tom Blakey, initiated coverage of the stock with a Sector Weight rating in a note late Tuesday. "We see Super Micro well positioned to benefit from AI secular growth trends as a leading provider of rack-scale full IT stack solutions," he said.
Palantir Technologies has climbed more than 5% over the past two days after ending a six-day losing streak. Its newfound winning streak is on track to extend to a third day as the shares rose 1.7% ahead of the open.
Separately, Google said Tuesday it will no longer hit a year-end target for making changes to its ad privacy, The Wall Street Journal reported. It follows a report that the U.K.'s Information Commissioner's Office believes Google's proposed replacements for cookies need to do more to protect consumer privacy. Alphabet stock edged higher in premarket trading.
Write to Callum Keown at callum.keown@barrons.com
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(END) Dow Jones Newswires
April 24, 2024 05:56 ET (09:56 GMT)
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