Three major indexes rise in unison ahead of Thanksgiving…NVIDIA up 1.3% [New York Stock Market Briefing]

The major indexes on the New York market closed higher. Technology stocks were strong amid growing hopes for interest rate cuts.

On the 26th (local time) at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average closed at 47,427.12, up 314.67 points (0.67%) from the previous session. The Standard & Poor's (S&P) 500 rose 46.73 points (0.69%) to 6,812.61, and the Nasdaq closed at 23,214.69, up 189.1 points (0.82%).

By sector, all sectors except communication services and health care advanced. Technology, utilities, and materials rose more than 1%.

AI and semiconductor-related stocks were notably strong. The Philadelphia Semiconductor Index jumped nearly 3%. All 30 component stocks rose.

Broadcom rose more than 3% on expectations that Google's Tensor Processing Unit (TPU) will play a key role in the AI industry. Its market capitalization reached $1.8775 trillion. ASML, AMD, and Applied Materials also rose more than 3%. Oracle rose more than 4%.

Eric Ditton, head of Wealth Alliance, said, "It's simply a quick recovery from the risk-off sentiment over the past one to two weeks," adding, "Weeks with Thanksgiving are typically strong for the market."

With Black Friday, the year's biggest shopping period, approaching, buying flowed into retailers. Walmart rose 1.96% and Home Depot gained 1.25%. Best Buy jumped about 7% over two days on expectations that both sales and profits will increase on Black Friday. Kohl's, after surging 42% the previous day on expectations for its new CEO, rose another 7.49% on the day.

Markets see the U.S. central bank (Fed) cutting its policy rate at the December Federal Open Market Committee (FOMC) meeting. According to the Chicago Mercantile Exchange (CME) FedWatch tool, federal funds futures reflect an 84.8% probability of a 25bp cut in December (1bp = 0.01 percentage point), roughly unchanged from late the previous session.

The New York market will be closed on the 27th for Thanksgiving. It will close early on the 28th.

Jin Young-gi, Hankyung.com reporter young71@hankyung.com