Market Jumps: Tech Peaks Amid Earnings Surge

U.S. stock indexes advanced, with the tech-heavy Nasdaq reaching a record high, driven by Alphabet's revenue and profit surge. However, chip stocks suffered due to poor forecasts. The U.S. GDP grew at 2.8%, supporting potential Fed interest rate cuts. Key earnings reports will further guide market trends.

U.S. stock markets experienced a notable upswing as the tech-centric Nasdaq achieved a record high, buoyed by Alphabet's impressive revenue and profit results. This success stemmed from its strong cloud and YouTube ad sales performance. Meanwhile, concerns loomed over chip stocks, which faltered following gloomy forecasts from Advanced Micro Devices and Qorvo.

Economic data revealed the U.S. gross domestic product's annualized growth rate was 2.8% for the third quarter, slightly shy of economists' 3.0% expectation. In a separate report, private payrolls exceeded forecasts with a substantial addition of 233,000 jobs in October, hinting at a potential Federal Reserve interest-rate cut.

The stock rally comes amid a high-stakes presidential race and highlights the intense scrutiny megacap companies face this earnings-packed week. Investors await further reports from Microsoft's and Meta's performances post their scheduled announcements, as the sector's heavy investment in AI remains in focus.

(With inputs from agencies.)