NEW YORK,(Reuters):
TECHNOLOGY STOCKS carried the broader market higher yesterday, the buying spurred by guarded economic optimism from International Business Machines Corp.'s chief executive and strong financial results among computer chip companies.
The tech-laden NASDAQ composite jumped 26.07 points, or 2 per cent, to 1,326.61, according to the latest data, while the broad Standard & Poor's 500 index added 8.54 points, or 0.97 per cent, to 890.69. The blue-chip Dow Jones industrial average rose 58.47 points, or 0.70 per cent, to 8,427.41.
IBM rose US$1.93, or 2.5 per cent, to US$78.61. IBM Chief Executive Sam Palmisano said in a meeting with customers that he has seen encouraging signs for the long-term outlook for the technology sector.
"Even though we're faced with some very difficult short-term economic circumstances, they (customers) are ultimately optimistic about the long term," Palmisano told a meeting of about 300 IBM customers at the American Museum of Natural History.
"In fact, as you travel around the world, you see some encouraging signs that perhaps we have hit the bottom, or things have flattened out."
Shares of microchip maker Maxim Integrated Products Inc. leaped 11.2 per cent, or $3.29, to $32.72. Late on Tuesday, the company reported a 19 per cent rise in quarterly revenue and said it would pay a cash dividend for the first time.
