Wall Street climbs in late advance on chip makers
Monday, 14 June 2010
NEW YORK, June 13 (Reuters): Stocks rose in a late rally Friday as a strong forecast from a chip maker lifted tech shares and helped alleviate concerns about the economy's health after an unexpected drop in retail sales.
National Semiconductor Corp rose 5 per cent to $14.21 a day after it forecast margins and revenues above estimates after a horrible 2009. The Philadelphia Semiconductor index rose 1.4 per cent.
"The macro news has been increasingly negative, but you still have some companies reporting good forecasts, and people start to think (selling) got a bit overdone," said Doug Roberts, chief investment strategist at ChannelCapitalResearch.com in Shrewsbury, New Jersey.
"National Semiconductor made a positive announcement. That's why you're seeing the strength primarily in tech," he said.
Even so, the volume was lackluster, indicating little conviction that the advance will continue next week.
National Semiconductor Corp rose 5 per cent to $14.21 a day after it forecast margins and revenues above estimates after a horrible 2009. The Philadelphia Semiconductor index rose 1.4 per cent.
"The macro news has been increasingly negative, but you still have some companies reporting good forecasts, and people start to think (selling) got a bit overdone," said Doug Roberts, chief investment strategist at ChannelCapitalResearch.com in Shrewsbury, New Jersey.
"National Semiconductor made a positive announcement. That's why you're seeing the strength primarily in tech," he said.
Even so, the volume was lackluster, indicating little conviction that the advance will continue next week.