US stocks popped on Wednesday, rebounding toward record highs, as investors digested a barrage of earnings results highlighted by Morgan Stanley (MS).
The Dow Jones Industrial Average (^DJI) rose nearly 350 points, or about 0.8%, to close at a record high of 43,077.70. The tech-heavy Nasdaq Composite (^IXIC) gained nearly 0.3%, while the benchmark S&P 500 (^GSPC) was up around 0.5% and closed just shy of its own record.
All three major gauges rebounded after pulling back from all-time highs on Tuesday. ASML’s (ASML) deep cut to its 2025 sales forecast dented faith in the artificial intelligence chip trade, driving down stocks like Nvidia (NVDA). Chip stocks rebounded Wednesday, led by a 3.1% bounce back from Nvidia.
Meanwhile, Morgan Stanley’s quarterly report before the bell showed fresh signs of the Wall Street comeback that has boosted big bank earnings this week. Profits jumped compared to last year, thanks to a rise in dealmaking that has also lifted its peers. Shares rose nearly 7% following the release.
At the same time, disappointing earnings from ASML, UnitedHealth Group (UNH), and luxury stalwart LVMH (MC.PA, LVMUY) have an otherwise bullish Wall Street on the lookout for signs of weakness elsewhere.
In commodities, gold (GC=F) rallied toward a record high as fresh tariff promises from Republican nominee Donald Trump added to uncertainty around the outcome of the tight US presidential race.
