Tech Stocks Get a Boost: What's Driving the Market?

U. S. stock markets saw a slight rise on Thursday, with tech companies leading the charge. This uptick came after Taiwan Semiconductor Manufacturing Co. (TSMC) reported better-than-expected profits for the latest quarter. TSMC's Chief Financial Officer, Wendell Huang, mentioned that the demand for their advanced technologies is expected to remain strong through the end of the year. This is big news for the U. S. market because TSMC is a key player in the AI chip industry, supplying companies like Nvidia. Nvidia, in particular, saw a 1. 3% increase, making it a major contributor to the S&P 500's gains. The tech sector has been a significant driver of the market's record highs this year, despite ongoing concerns about high inflation and a slowing job market. Some critics are wary of a potential bubble, similar to the dot-com boom of the early 2000s. Other notable movers included Salesforce, which climbed 8% after announcing plans for significant revenue growth, and J. B. Hunt Transport Services, which surged 17. 3% after exceeding profit expectations. However, not all companies had a good day. Travelers dropped 4% despite reporting stronger profits, and Hewlett Packard Enterprise fell 8. 8% after setting long-term financial targets that some analysts found lackluster. Meanwhile, international markets also saw gains. South Korea's Kospi index soared 2. 5% on hopes of a trade deal with the U. S. , while China's markets showed mixed results. In the bond market, the yield on the 10-year Treasury note dipped slightly to 4. 04%. The Federal Reserve is closely watching economic indicators, but recent government shutdowns have delayed crucial reports, such as unemployment claims and inflation data. This lack of information adds uncertainty to the market's outlook.