Stocks Rise After CME Mess, Erasing November Loss
US stocks advanced in thin trading after a technical outage at the Chicago Mercantile Exchange disrupted premarket activity. Bonds edged lower.
The S&P 500 rose 0.5% in a post-holiday shortened session and was back within spitting distance of all-time highs. Volume was more than 25% below the 30-day average as Friday trading closed at 1:00 p.m. Earlier, a data-center fault had affected multiple markets, with the issue lasting longer than a similar outage in 2019. The Nasdaq 100 rose 0.8% with Intel Corp. among its biggest gainers. Amazon.com Inc. shares gained 1.8% and Walmart Inc. hit a record on what’s traditionally one of the biggest US shopping days of the year.
Foreign-exchange markets, which had continued to traded throughout the day, saw no major volatility after the EBS platform reopened at 7:00 a.m.
The CME halt was caused by a cooling system malfunction at a data center in the Chicago area, according to facility operator CyrusOne.
For US stocks, expectations that the Federal Reserve will cut interest rates faster than initially anticipated fueled a late-month rebound.
The biggest weekly advance in five months capped off a choppy November after swollen technology stock valuations stirred up unease on Wall Street. The gain buoyed the broader barometer of US stocks as it notched a seven-month winning streak. But investors rotating away from big technology winners and into defensive sectors like health care, led to the tech-heavy Nasdaq 100 to its first loss since March.
The S&P 500 rose 0.5% as of 1 p.m. New York time
The Nasdaq 100 rose 0.8%
The Dow Jones Industrial Average rose 0.6
Source : Bloomberg.com
