Stocks – Dow Rebounds as Rampant Tech Lifts Sentiment

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Stocks - Dow Rebounds as Rampant Tech Lifts Sentiment

Investing.com – The Dow clawed back losses to close higher Monday as Apple rebounded to lead tech higher.

The Dow Jones Industrial Average rose 0.14% to 24,423, from a session low of 23,881. The S&P 500 added 0.17%, while the Nasdaq Composite climbed 0.74%.

Apple (NASDAQ:AAPL) swung from session lows after it filed an appeal to overturn a decision banning the sale of its iPhones in China.

A Chinese court had granted Qualcomm (NASDAQ:QCOM) an injunction against Apple banning the iPhone maker from selling most of its iPhones in China. The ban, which is not expected apply to Apple’s latest slate of iPhones appeared to provide some respite for investors.

“A ban on importing old 6S does little to limit the domestic circulation of refurbished iPhones (in China),” Lynx Equity Strategies said in a note. “The bulk of Apple sales in China are typically the new models.”

Among other FANG stocks, Facebook (NASDAQ:FB) rose more than 3% and Netflix (NASDAQ:NFLX) gained 2%. Alphabet (NASDAQ:GOOGL) closed 0.6% higher.

But financials limited gains in the broader market as bank stocks continued to fall on concerns about exposure to a potential fallout from Brexit after UK Prime Minister called off a key vote on the Brexit deal slated for Tuesday.

Banks were also weighed down by expectations the Federal Reserve may rein in the pace of monetary policy tightening amid concerns about global growth.

Bank of America (NYSE:BAC), Citigroup (NYSE:C) and JPMorgan (NYSE:JPM) fell about 2% as low interest rates tend to limited interest income generated by banks.

Energy, meanwhile, ended deeply in the red on the back of falling oil prices as doubts grew over whether OPEC and its allies recent pact to cut production would stave off a supply glut.

On the economic front, job openings rose to a near record high, but missed economists’ forecasts.

The U.S. Labor Department’s latest Job Openings and Labor Turnover Survey (JOLTs) report, a measure of labor demand, showed job openings in October improved to about 7.08m, missing expectations of 7.22m.

The rebound on Wall Street was also supported by a rise in defense stocks after President Donald Trump reportedly agreed to increase the defense budget to $750 billion for the upcoming year, reversing plans to cut defense spending, Politico reported.

Kratos Defense & Security Solutions (NASDAQ:KTOS) rose 7%, Northrop Grumman (NYSE:NOC) rose 5% and Lockheed Martin (NYSE:LMT) rose 4.6%.

Top S&P 500 Gainers and Losers Today:

Northrop Grumman Corporation (NYSE:NOC), Lockheed Martin Corporation (NYSE:LMT), Fortinet Inc (NASDAQ:FTNT) among the top S&P 500 gainers for the session.

Apache Corporation (NYSE:APA), Newfield Exploration Company (NYSE:NFX), Under Armour Inc C (NYSE:UA) were among the worst S&P 500 performers of the session.

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