WASHINGTON (dpa-AFX) - Stocks have moved mostly higher during trading on Wednesday, with the major averages all moving to the upside after closing mixed for two straight sessions. With the upward move, the Nasdaq and the S&P 500 have reached new record intraday highs.
In recent trading, the Nasdaq and the S&P 500 have reached new highs for the session. The Nasdaq is up 191.31 points or 1.0 percent at 19,672.22 and the S&P 500 is up 23.96 points or 0.4 percent at 6,073.84.
The narrower Dow is well off its best levels of the day but is also up 176.64 points or 0.4 percent at 44,882.17 after closing lower for two straight days.
The rebound by the Dow comes amid a sharp increase by shares of Salesforce (CRM), with the enterprise software surging by 8.5 percent after reporting better than expected fiscal third quarter revenues.
Chipmaker Marvell Technology (MRVL) is also soaring by 21.4 percent after reporting fiscal third quarter results that exceeded estimates, contributing to strength in the tech sector.
Optimism about the outlook for interest rates may also be contributing to the strength on Wall Street following the release of some weaker than expected U.S. economic data.
Payroll processor ADP released a report this morning showing private sector employment in the U.S. increased by slightly less than expected in the month of November.
ADP said private sector employment climbed by 146,000 jobs in November after jumping by a downwardly revised 184,000 jobs in October.
Economists had expected private sector employment to grow by 165,000 jobs compared to the surge of 233,000 jobs originally reported for the previous month.
A separate report released by the Institute for Supply Management showed U.S. service sector growth slowed by more than anticipated in the month of November.
The ISM said its services PMI fell to 52.1 in November from 56.0 in October. While a reading above 50 still indicates growth, economists had expected the index to show a much more modest decrease to 55.5.
Following the data, CME Group's FedWatch Tool is indicating a 75.7 percent chance the Federal Reserve will lower interest rates by 25 basis points later this month.
Sector News
Computer hardware stocks have shown a substantial move to the upside on the day, driving the NYSE Arca Computer Hardware Index up by 3.0 percent.
Pure Storage (PSTG) has helped lead the sector higher, soaring by 20.3 percent after better than expected fiscal third quarter results.
Significant strength is also visible among software stocks, with the Dow Jones U.S. Software Index surging by 2.7 percent to a record intraday high.
Airline, networking and semiconductor stocks are also seeing considerable strength on the day, while housing and energy stocks have shown notable moves to the downside.
Other Markets
In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance during trading on Wednesday. Japan's Nikkei 225 Index inched up by 0.1 percent, while China's Shanghai Composite Index fell by 0.4 percent.
The major European markets have also turned mixed. While the U.K.'s FTSE 100 Index is down by 0.2 percent, the French CAC 40 Index is up by 0.8 percent and the German DAX Index is up by 1.1 percent.
In the bond market, treasuries have bounced back near the unchanged line after seeing early weakness. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, is down by less than a basis point at 4.217 percent.
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