What’s going on here?
US stocks headed higher on Thursday, driven by upbeat jobless and manufacturing data, plus major gains among tech and biotech leaders.
What does this mean?
Optimism is running high on Wall Street as initial jobless claims dropped to 231,000 last week, beating expectations. The Philadelphia Fed Manufacturing Index also jumped to 23.2—well above the predicted 1.7—signaling renewed strength in manufacturing and continued labor market resilience. The major indexes responded accordingly: futures for the Dow, S&P 500, and Nasdaq gained 0.1%, 0.5%, and 0.9%. Biotech stocks made headlines, too, with 89bio jumping 85% on a $2.4 billion buyout from Roche, while Aptevo Therapeutics soared 80%, underscoring the opportunity and volatility in small-cap healthcare. Over in tech, Intel popped 30% after Nvidia announced a $5 billion investment focused on chip design and manufacturing. Meanwhile, oil prices slipped and global equity performance stayed mixed, with Japan’s Nikkei climbing and Chinese stocks losing ground.
Why should I care?
For markets: Growth breathes new energy into US stocks.
Upbeat economic data is restoring confidence in the world’s biggest market. Tech and biotech are showing fresh momentum: the Nasdaq’s 0.9% uptick signals renewed enthusiasm for innovation, with deals like the Roche–89bio tie-up and Nvidia’s Intel move pointing to ongoing partnerships and consolidation. But not all small-caps are smooth sailing—volatile names like Wheeler REIT still serve up cautionary tales.
The bigger picture: US momentum stands out on the global stage.
Despite positive signals from the US, global markets aren’t all on the same page. Japan’s Nikkei rose while Hong Kong and Shanghai fell, highlighting differing investor views and economic backdrops. European stocks edged higher, though gains were more modest. Still, the latest data adds to the view that the US remains the outlier in defying slowdown concerns—a trend likely to shape the world’s investment strategies as the year wraps up.
