The tech-heavy Nasdaq Composite Index rose 0.8% as investors bet on strong returns from Meta, Amazon and Microsoft.
U.S. tech stocks pushed the Nasdaq index to record highs as investors bet on strong earnings from leading companies.
The tech-heavy Nasdaq Composite Index rose 0.8% on Tuesday after Google’s parent company Alphabet reported better-than-expected third-quarter profits.
Alphabet’s sales in the July-September period rose 15% to $88.3 billion, and profits rose 34% to $26.3 billion.
Google and Alphabet CEO Sundar Pichai said the company is experiencing “extraordinary” momentum from strong performance in its search and cloud businesses and a focus on innovation, including artificial intelligence. Ta.
“Our commitment to innovation and long-term focus and investment in AI is paying off and driving success for our company and our customers,” Pichai said on the earnings call.
“We are uniquely positioned to lead in the AI era with our differentiated full-stack approach to AI innovation, and we are now seeing this operationalized at scale.”
Alphabet’s stock rose nearly 6% in after-hours trading.
The tech giant’s strong results come ahead of this week’s much-anticipated earnings releases from Apple, Microsoft, Metaplatform and Amazon, whose stocks posted gains on Tuesday.
Metaplatform, Amazon, Microsoft, and Apple stock prices rose 2.62%, 1.3%, 1.26%, and 0.12%, respectively.
Tesla, another of the Magnificent Seven stocks that accounts for more than a third of the market, fell 1.14% after surging 22% last week after reporting better-than-expected third-quarter profits. did.
The overall market rose only modestly, with the benchmark S&P 500 index up 0.2%.
The tech giant’s strong performance was offset by weak performance at major companies such as Ford and JetBlue Airways, whose stocks fell 8.4% and 17.1%, respectively.
