Stocks kicked off the week on a positive note, continuing the momentum from last week’s strong gains. Despite a light economic calendar, investors were focused on individual stock news, with Micron Technology (MU) standing out as a top pick among semiconductor stocks.
At the close, the Dow Jones Industrial Average was up 0.5% at 38,852, the S&P 500 rose 1.0% to 5,180, and the Nasdaq Composite gained 1.2% to 16,349.
Last week ended with gains across the board after Federal Reserve Chair Jerome Powell hinted at no immediate rate hikes and the April jobs report showed easing wage pressures.
Today’s economic news was minimal, with speeches from central bank officials being the highlight. Richmond Fed President Tom Barkin expressed optimism about inflation eventually returning to the central bank’s target of 2%.
In other news, Berkshire Hathaway made headlines over the weekend by cutting its stake in Apple by 13%. Warren Buffett cited expectations of potential tax increases as the reason for the move, but reaffirmed his confidence in Apple as a strong business and investment.
Meanwhile, Micron received a boost after Baird analyst Tristan Gerra upgraded the stock to Outperform, naming it a top pick among semiconductors. This positive outlook had a ripple effect on other semiconductor stocks like Super Micro Computer and Advanced Micro Devices.
Overall, the market is showing resilience and optimism, with key players making strategic moves to navigate potential challenges ahead. DailyBubble sees this as a sign of cautious optimism and strategic planning in uncertain times.