At a time when every dip in stocks is perceived as an opportunity, buyers emerged after a brief pullback led by some of the biggest winners of the artificial-intelligence boom. Bitcoin rallied. Bonds fell.
About 300 shares in the S&P 500 rose. While Wall Street didn’t see a buying stampede on Wednesday, the market was able to stabilize after a slide that underscored worries about how stretched the market has become and how sensitive it is to unfavorable news.
“For investors with cash on the sidelines, the recent market pullback seems like a good time to buy, especially for investors with a longer time horizon,” said Robert Edwards at Edwards Asset Management. “Earnings are crushing it and growing faster than revenues and that often leads to multiple expansion.”
Traders also kept an eye on the latest economic reports, with employment at US companies increasing in October, signaling some stabilization in the job market. Private-sector payrolls increased by 42,000 after a revised 29,000 decline a month earlier, according to ADP Research data released Wednesday.
Meantime, the US Treasury indicated it’s not looking to boost sales of notes and bonds until well into next year, in a decision that will see the government increasingly rely on bills to fund the budget deficit. Dealers had widely expected the move.
The S&P 500 was little changed. The yield on 10-year Treasuries climbed three basis points to 4.11%. Bitcoin gained 2%. The dollar wavered.
Corporate Highlights:
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Advanced Micro Devices Inc., the main contender to Nvidia Corp. in the artificial intelligence chip market, failed to impress investors with its revenue forecast after an eye-popping rally sent expectations soaring.
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Super Micro Computer Inc. missed reduced estimates for first-quarter sales and profit and gave a disappointing earnings forecast for the current period, reinforcing concerns about its ability to capitalize on demand for AI equipment.
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Pinterest Inc.’s revenue projections for the current quarter fell short of analysts’ estimates, a sign that the search platform’s advertising business may not be growing as quickly as expected despite the upcoming holiday shopping season.
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Alphabet Inc.’s Google and cybersecurity company Wiz Inc. cleared a key hurdle to closing their $32 billion deal, with the US government saying it would wrap up its investigation of the acquisition.
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McDonald’s Corp. reported faster-than-expected sales growth in the US in the latest quarter as diners spent more per visit to the fast-food chain.
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Bank of America Corp., seeking to revive a stock that’s trailing its main US peers this year, laid out a slew of new financial targets — forecasting that earnings per share will rise at least 12% annually over the next several years.
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After a spate of US regional-bank mergers in recent months, even more are likely as the timeline for regulatory approvals quickens, KeyCorp Chief Executive Officer Chris Gorman said.
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Humana Inc. kept its full-year guidance unchanged despite reporting better-than-expected adjusted profit for the third quarter.
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Teva Pharmaceuticals Inc.’s sales of branded medications topped expectations, showing that its strategy to expand into that drug category is working.
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Bunge Global SA posted third-quarter earnings that beat expectations as it navigates an uncertain export landscape and lingering questions around US biofuels policy.
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Novo Nordisk A/S trimmed its forecast for a fourth time this year on lagging sales of its blockbuster drugs Wegovy and Ozempic, underscoring the urgency facing its new chief executive.
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BMW AG said demand for the first model in a new generation of vehicles is exceeding expectations as the luxury-auto maker steps up the fight to meet growing competition in China.
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Europe’s reliance on imported drug ingredients is as dangerous as its dependence on rare earths, according to Fresenius SE Chief Executive Officer Michael Sen, who urged governments to accelerate plans to rebuild local production.
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Marks & Spencer Group Plc expects profit in the second half to rebound to at least last year’s level as the British retailer revealed the extent of a costly cyberattack in April that severely interrupted sales.
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Orsted A/S confirmed its full-year profit guidance, seeking to reassure investors of its financial stability after a weak third quarter.
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Vestas Wind Systems A/S announced a new share-buyback program supported by a strong orderbook for onshore turbines.
Some of the main moves in markets:
Stocks
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The S&P 500 was little changed as of 9:38 a.m. New York time
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The Nasdaq 100 was little changed
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The Dow Jones Industrial Average rose 0.1%
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The Stoxx Europe 600 was little changed
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The MSCI World Index was little changed
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Bloomberg Magnificent 7 Total Return Index fell 0.2%
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The Russell 2000 Index rose 0.4%
Currencies
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The Bloomberg Dollar Spot Index was little changed
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The euro was little changed at $1.1486
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The British pound was little changed at $1.3032
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The Japanese yen fell 0.2% to 153.94 per dollar
Cryptocurrencies
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Bitcoin rose 2.2% to $102,443.54
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Ether rose 3.6% to $3,327.66
Bonds
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The yield on 10-year Treasuries advanced three basis points to 4.11%
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Germany’s 10-year yield was little changed at 2.66%
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Britain’s 10-year yield advanced two basis points to 4.45%
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The yield on 2-year Treasuries advanced one basis point to 3.59%
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The yield on 30-year Treasuries advanced three basis points to 4.70%
Commodities
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West Texas Intermediate crude fell 0.8% to $60.09 a barrel
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Spot gold rose 1.4% to $3,985.27 an ounce
