(Reuters) – Major Wall Street indices rallied on Monday, supported by tech stocks, and signs of progress in the COVID-19 vaccine and a surge in multi-billion dollar deals also boosted sentiment.
Nvidia Corp (NASDAQ: NVDA) shares jumped 6.2% on news of the purchase of UK-based chipmaker Arm from Japan's SoftBank Group Corp for $ 40 billion.
Oracle added 6.5%. The company has confirmed that it is part of an offer from the owner of TikTok ByteDance to the US government, under which it could become a technology partner for the Chinese company.
“Wall Street always encourages growth,” said Kim Forrest, investment director at Bokeh Capital Partners.
“This is why these deals are exciting, because if you combine the two companies, by definition, you will have inorganic growth, but you will see growth.”
The S&P 500 is recovering from a two-week decline in the tech sector. Earlier, the rise in tech stocks helped the index return to record highs.
By 17:53 Moscow time, the Dow Jones index rose 1.3% to 28.036.07 points, the S&P 500 index – by 1.6% to 3.394.87 points, and the Nasdaq – by 2.1% to 11.082.77 points.
(Medha Singh and Devik Jain in Bangalore. Translated by Alexey Kuzmin. Editor Marina Bobrova)