US open: Major indices extend gains as investors look past political gridlock

(Sharecast News) - Major indices were in the green early on Thursday after wrapping up the previous session at another record high.

As of 1450 BST, the Dow Jones Industrial Average was up 0.16% at 46,513.48, while the S&P 500 advanced 0.20% to 6,724.63 and the Nasdaq Composite came out of the gate 0.34% firmer at 22,833.23.

The Dow opened 72.38 points higher on Thursday, extending gains recorded in the previous session as investors shrugged off concerns surrounding the Federal Government's shutdown after Democrats and Republicans failed to reach a funding agreement by Tuesday's deadline, with both sides trading blame over the impasse. Democrats have held firm on demands to use the measure to extend healthcare tax credits for millions of Americans.

The shutdown was still firmly in focus on Thursday, with attention now turning to how long the stalemate will last. With the Senate out of session on Thursday for Yom Kippur, the earliest lawmakers were expected to reconvene was Friday. Prediction markets suggest the shutdown could stretch for nearly two weeks.

While markets have typically weathered shutdowns with limited disruption, this episode could prove more volatile given elevated valuations, inflationary concerns, and policy uncertainty amid the AI-led rally. Donald Trump has threatened to make permanent job cuts for federal workers, adding to unease around labour market conditions.

The shutdown has also triggered a data blackout, with the Labor Department suspending most activity, including Friday's nonfarm payrolls report. In its absence, yesterday's ADP private payrolls data, which showed a decline in hiring, has taken on greater significance.

The Federal Reserve was originally expected to cut rates at its October meeting; however, the full impact of the shutdown remains unclear.

On the macro front, US employers announced 54,064 job cuts in September, marking the lowest monthly total in three months and down 25.8% year-on-year, according to the latest Challenger jobs report. The services sector led the monthly reductions with 6,290 cuts, followed by energy at 5,807 and technology at 5,639. Despite the slowdown in September, planned layoffs in the third quarter totalled 202,118 - the highest Q3 reading since 2020.

Year-to-date, US companies have announced 946,426 job cuts, the highest total since 2020 and the fifth largest in the past 36 years. The government sector accounted for the bulk of reductions, with 299,755 cuts, including 289,363 federal roles affected by DOGE.

No major corporate earnings were slated for release on Thursday.

Reporting by Iain Gilbert at Sharecast.com

Dow Jones - Risers

Merck & Co. Inc. (MRK) $90.13 7.39%

Intel Corp. (INTC) $35.94 7.12%

Nike Inc. (NKE) $74.20 6.41%

Amgen Inc. (AMGN) $298.50 5.78%

Visa Inc. (V) $347.83 1.89%

International Business Machines Corporation (CDI) (IBM) $286.49 1.53%

Unitedhealth Group Inc. (UNH) $348.30 0.87%

Caterpillar Inc. (CAT) $480.90 0.77%

Coca-Cola Co. (KO) $66.77 0.69%

3M Co. (MMM) $156.00 0.53%

Dow Jones - Fallers

Home Depot Inc. (HD) $397.02 -2.02%

JP Morgan Chase & Co. (JPM) $310.76 -1.50%

Goldman Sachs Group Inc. (GS) $785.51 -1.36%

Walt Disney Co. (DIS) $112.95 -1.35%

McDonald's Corp. (MCD) $300.52 -1.11%

American Express Co. (AXP) $328.56 -1.08%

Walmart Inc. (WMT) $101.96 -1.07%

Travelers Company Inc. (TRV) $277.24 -0.71%

Salesforce.Com Inc. (CRM) $235.69 -0.55%

Chevron Corp. (CVX) $154.58 -0.46%

S&P 500 - Risers

AES Corp. (AES) $15.38 16.79%

Biogen Inc (BIIB) $154.22 10.09%

Thermo Fisher Scientific Inc. (TMO) $532.06 9.42%

Micron Technology Inc. (MU) $182.15 8.86%

Seagate Technology Plc (STX) $256.84 8.80%

Western Digital Corp. (WDC) $130.59 8.77%

Eli Lilly and Company (LLY) $825.42 8.18%

Agilent Technologies Inc. (A) $138.56 7.97%

Illumina Inc. (ILMN) $102.26 7.68%

Merck & Co. Inc. (MRK) $90.13 7.39%

S&P 500 - Fallers

News Corp Class B (NWS) $32.46 -6.05%

FMC Corp. (FMC) $31.70 -5.74%

News Corp Class A (NWSA) $28.95 -5.73%

Humana Inc. (HUM) $246.77 -5.15%

Interpublic Group of Companies Inc. (IPG) $26.51 -5.02%

Omnicom Group Inc. (OMC) $77.40 -5.00%

Gartner Inc. (IT) $249.51 -4.52%

Quest Diagnostics (DGX) $182.07 -4.47%

Dollar Tree Inc (DLTR) $90.32 -4.29%

Raymond James Fin Corp. (RJF) $165.90 -3.88%

Nasdaq 100 - Risers

Biogen Inc (BIIB) $154.22 10.09%

Micron Technology Inc. (MU) $182.15 8.86%

Seagate Technology Plc (STX) $256.84 8.80%

Western Digital Corp. (WDC) $130.59 8.77%

Illumina Inc. (ILMN) $102.26 7.68%

Intel Corp. (INTC) $35.94 7.12%

Regeneron Pharmaceuticals Inc. (REGN) $599.94 6.70%

Lam Research Corp. (LRCX) $142.79 6.64%

Applied Materials Inc. (AMAT) $217.74 6.35%

Amgen Inc. (AMGN) $298.50 5.78%

Nasdaq 100 - Fallers

Mercadolibre Inc. (MELI) $2,176.91 -6.85%

Dollar Tree Inc (DLTR) $90.32 -4.29%

eBay Inc. (EBAY) $87.58 -3.71%

Workday, Inc. (WDAY) $232.21 -3.54%

Idexx Laboratories Inc. (IDXX) $620.11 -2.94%

Fastenal Co. (FAST) $47.72 -2.69%

Sirius XM Holdings Inc (SIRI) $22.66 -2.64%

Analog Devices Inc. (ADI) $239.28 -2.61%

Adobe Systems Inc. (ADBE) $343.72 -2.56%

T-Mobile Us, Inc. (TMUS) $233.26 -2.56%