US close: Dow climbs but Nasdaq sinks as pressure on big tech persists

(Sharecast News) - Major indices delivered a mixed performance on Wednesday as tech stocks remained under pressure.

At the close, the Dow Jones Industrial Average was up 0.53% at 49,501.30, while the S&P 500 shed 0.51% to 6,882.77 and the Nasdaq Composite saw out the session 1.51% weaker at 22,904.58.

The Dow closed 260.31 points higher on Wednesday, more than reversing losses recorded in the previous session as traders rotated out of a number of big-name tech firms.

Chipmaker AMD was in focus throughout the session following betterthanexpected fourthquarter results, but still closed roughly 17% lower after its first-quarter forecast fell short of what some analysts had expected amid the ongoing AI spending boom.

In terms of Wednesday's earnings, Eli Lilly said Q4 revenues had increased 43% to $19.3bn, driven by volume growth from Mounjaro and Zepbound, while earnings per share grew 51% to $7.39 per share on a reported basis, while Stanley Black & Decker posted Q4 adjusted earnings that came in ahead of Wall Street expectations, even as revenues fell short of estimates.

Rideshare giant Uber traded sharply lower before the open after its Q4 earnings missed Wall Street expectations, while KFC and Taco Bell parent company Yum! Brands reported quarterly earnings that didn't quite match up to expectations, but said its Q4 revenues had come in better than expected.

After the close, Google parent company Alphabet beat on both the top and bottom lines, as it revealed it would significantly increase its AI spending in 2026, and chipmaker Qualcomm reported record first-quarter revenues, but cautioned that a growing shortage of memory chips would weigh on future sales.

On the macro front, private sector employment in the US rose less than expected in January, according to figures released by ADP on Wednesday. Employment increased by 22,000 from December, versus expectations for a 45,000 jump. Meanwhile, the December figure was revised to show that 37,000 jobs were added, down from 41,000. The data also showed that year-on-year pay growth for job-stayers was little changed in January at 4.5%. For job-changers, annualised pay growth eased to 6.4% from 6.6%.

"Job creation took a step back in 2025, with private employers adding 398,000 jobs, down from 771,000 in 2024," said Nela Richardson, chief economist at ADP. "While we've seen a continuous and dramatic slowdown in job creation for the past three years, wage growth has remained stable."

Elsewhere, US mortgage applications fell by 8.9% in the week ended 30 January, according to the Mortgage Bankers Association of America, extending the previous week's 8.5% drop. Applications to refinance a mortgage, which are more sensitive to short-term changes in interest rate, fell by 5% week-on-week, while applications to purchase a home sunk 14%.

On another note, S&P Global's services PMI increased to 52.70 points in January, up from 52.50 points in December, pointing to a continued, albeit modest, expansion in the service sector last month, while its composite PMI rose to 53.0 in January, above both preliminary estimates of 52.8 and December's 52.7 print.

Finally, the Institute for Supply Management's services PMI was unchanged at 53.8 in January, matching December's downwardly revised reading and coming in ahead of expectations for 53.5, pointing to another solid expansion, driven by an accelerated growth in business activity, which climbed to 57.4 from 55.2.

ISM chair Steve Miller said: "There was more respondent commentary in January on tariff impacts and uncertainty, potentially the result of annual contract renewals and geopolitical tensions. Gasoline and diesel fuel continued to be cited as commodities down in price. With the highest Business Activity and Supplier Deliveries index readings since October 2024, whether pricing increases will stick or expand needs to be closely watched."

Reporting by Iain Gilbert at Sharecast.com

Dow Jones - Risers

Amgen Inc. (AMGN) $366.20 8.15%

Dow Chemical Co. (DOW) $32.54 6.26%

Nike Inc. (NKE) $64.37 5.40%

3M Co. (MMM) $163.43 5.21%

Walt Disney Co. (DIS) $107.59 2.72%

Travelers Company Inc. (TRV) $294.99 2.43%

Merck & Co. Inc. (MRK) $118.44 2.15%

Chevron Corp. (CVX) $181.69 1.79%

Verizon Communications Inc. (VZ) $47.18 1.64%

Home Depot Inc. (HD) $387.96 1.60%

Dow Jones - Fallers

Unitedhealth Group Inc. (UNH) $276.93 -2.91%

Goldman Sachs Group Inc. (GS) $915.85 -2.74%

Cisco Systems Inc. (CSCO) $81.16 -2.35%

International Business Machines Corporation (CDI) (IBM) $289.46 -1.79%

Caterpillar Inc. (CAT) $692.45 -1.57%

Intel Corp. (INTC) $48.60 -1.32%

S&P 500 - Risers

Fortive Corporation (FTV) $60.04 10.63%

Eli Lilly and Company (LLY) $1,105.33 10.33%

Celanese Corp. (CE) $52.50 9.93%

Coty Inc. Class A (COTY) $3.44 8.54%

Amgen Inc. (AMGN) $366.20 8.15%

MGM Resorts International (MGM) $37.10 8.08%

Jacobs Solutions Inc. (J) $143.43 7.84%

Advance Auto Parts (AAP) $54.65 7.53%

United Rentals Inc. (URI) $847.32 6.99%

LyondellBasell Industries (LYB) $57.36 6.83%

S&P 500 - Fallers

CenturyLink Inc. (LUMN) $6.66 -21.63%

Boston Scientific Corp. (BSX) $76.63 -17.59%

Advanced Micro Devices Inc. (AMD) $200.19 -17.31%

Amphenol Corp. (APH) $130.56 -11.60%

Micron Technology Inc. (MU) $379.40 -9.55%

Cencora Inc (COR) $330.06 -8.79%

H&R Block Inc. (HRB) $34.53 -7.10%

Arista Networks Inc. (ANET) $131.01 -6.54%

Seagate Technology Plc (STX) $418.63 -5.81%

T. Rowe Price Group Inc. (TROW) $97.02 -5.49%

Nasdaq 100 - Risers

Amgen Inc. (AMGN) $366.20 8.15%

Workday, Inc. (WDAY) $170.15 5.57%

Skyworks Solutions Inc. (SWKS) $59.00 5.49%

Biogen Inc (BIIB) $185.45 4.92%

Wynn Resorts Ltd. (WYNN) $114.21 4.52%

J.B. Hunt Transport Services Inc. (JBHT) $228.22 3.45%

American Airlines Group (AAL) $14.43 3.00%

Cognizant Technology Solutions Corp. (CTSH) $76.71 2.97%

Henry Schein Inc. (HSIC) $75.26 2.90%

Sirius XM Holdings Inc (SIRI) $20.73 2.88%

Nasdaq 100 - Fallers

Micron Technology Inc. (MU) $379.40 -9.55%

Seagate Technology Plc (STX) $418.63 -5.81%

NetEase Inc. Ads (NTES) $121.41 -5.41%

Take-Two Interactive Software Inc. (TTWO) $200.76 -5.38%

Baidu Inc. (BIDU) $137.95 -4.77%

Asml Holdings N.V. (ASML) $1,339.13 -4.07%

Broadcom Inc. (AVGO) $308.05 -3.83%

Tesla Inc (TSLA) $406.01 -3.78%

KLA-Tencor Corp. (KLAC) $1,307.22 -3.56%

Nvidia Corp. (NVDA) $174.19 -3.41%