The Dow bounces back 200 points as Nvidia stock surge

The rebound came a day after a massive selloff sparked by caution on interest rate cuts from the Fed. Micron stock plunged 17%

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The Dow staged a rebound Thursday morning, following Wednesday’s 1,100-point plunge that marked its longest losing streak since 1974. The upturn came despite investor disappointment over the Federal Reserve’s conservative approach to rate cuts. Other major indices, including the S&P 500 and Nasdaq, also experienced gains after a sell-off on Wednesday afternoon.

In the afternoon, the Dow Jones Industrial Average jumped 194 points or 0.4%. The S&P 500 and Nasdaq added 0.3% each. Additionally, the 10-year Treasury yield rose more than 13 basis points to cross 4.50%.

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Shares of chipmaker Nvidia (NVDA) rose 2.1% in the morning after seeing a sell-off earlier this week. Tesla (TSLA) was up by 2.5% in the morning but slipped in the afternoon.

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Weekly jobless claims declined more than expected

Initial jobless claims fell by 22,000 to 220,000 during the week ending Dec. 14, lower than economists’ expectations of 230,000 claims, according to the Labor Department.

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Micron Technology stock drops 17%

Shares of Micron Technology (MU) fell 17% on Thursday after the chipmaker posted weaker-than-expected guidance in its latest earnings report. The stock was trading at $86 per share and was the worst performer on the S&P 500.

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Other important earnings to watch

Accenture (ACN) reported its financial performance before the market opened, exceeding revenue estimates due to increasing demand for its services that assist clients in adopting AI-powered tools. The shares were up 7%, trading at $369 each. Nike (NKE) and FedEx (FDX) are set to report their earnings after the market wraps up.