US market today: Wall Street rallies on strong tech and bank profits; US-China trade worries linger

Wall Street advanced on Wednesday as robust earnings from major technology and banking firms overshadowed lingering US-China trade concerns. The S&P 500 gained 0.9%, recovering from a volatile session, while the Dow Jones Industrial Average rose 320 points, or 0.7%, and the Nasdaq composite climbed 1.1% by 10 a.m.

Eastern time, driven largely by strength in semiconductor and tech stocks, AP reported.Tech sector gains were led by ASML, the Dutch semiconductor equipment supplier, which expects 2025 revenue to be 15% higher than last year, with next year projected to match or exceed current levels. “On the market side, we have seen continued positive momentum around investments in AI, and have also seen this extending to more customers,” CEO Christophe Fouquet said.

Nvidia added 1.2% and Broadcom rose 3%, helping lift the S&P 500.Bank earnings also supported the rally. Bank of America climbed 3.9% after posting stronger-than-expected profits across all business lines, while Morgan Stanley jumped 6.9%. PNC Financial fell 3.9% despite beating profit estimates, following a cautious earnings forecast. Abbott Laboratories dropped 2.8% after narrowly missing revenue expectations.

Investors remain focused on corporate profits as key indicators of the US economic outlook amid a delayed government shutdown, which has postponed critical economic reports, including inflation data. The Federal Reserve, which cut its main interest rate last month and signaled potential further reductions, faces uncertainty in balancing inflationary pressures and job market support.Geopolitical tensions between the US and China also continue to weigh on markets, particularly concerns over China’s export restrictions on rare earths, vital for electronics and aerospace industries. Gold benefitted from the uncertainty, rising 1.1% to over $4,200 per ounce, up nearly 60% for the year, as investors sought safe-haven assets.Global markets showed mixed trends, with Asia largely higher—South Korea’s Kospi jumped 2.7%—and Europe posting moderate gains, including a 2.1% rise in France’s CAC 40.