NEW YORK: Wall Street stocks rose early Friday, boosted by strong earnings from Dow member Intel and shrugging off data showing slower-than-expected US growth in the fourth quarter.
Intel surged about eight percent in early trading after reporting record revenues in the final quarter of 2017 and forecasting stronger-than-expected sales this year. The upbeat outlook suggests demand has not suffered due to a computer chip flaw that recently weighed on shares.
About 25 minutes into trading, the Dow Jones Industrial Average was at 26,462.51, up 0.3 percent. The index has closed at records the last two days.
The broad-based S&P 500 gained 0.4 percent to 2,850.90, while the tech-rich Nasdaq Composite Index advanced 0.5 percent to 7,445.98.
The Commerce Department reported that US growth slowed to 2.6 percent in the October-December period, below the 2.9 percent expected by analysts.
President Donald Trump, addressing the World Economic Forum, in Davos, Switzerland, said the US was open for business, but would defend its rights from unfair trade practices.
The remarks “appeared not to roil the markets,” said a note from Charles Schwab.
Shares of Nike rose 1.0 percent on reports that activist investor Bill Ackman’s Pershing Square Capital Management has taken a stake in sneaker and sports attire giant.
Starbucks slumped 4.7 percent after it reported that fourth-quarter sales rose 5.9 percent to $6.1 billion. Analysts expressed concerns about slowing growth, especially in the US.
Source: Brecorder.com
