Tech leads stock rebound helped by Tesla, Microsoft

Microsoft led the Dow's 439-point jump

U.S. equity markets bounced back Wednesday after three days of heavy selling tipped the tech-heavy Nasdaq Composite into the fastest correction in its history.

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The Nasdaq rallied 2.71% after sliding 10% from its record high set on Sept. 2.

Tesla Inc. shares rebounded nearly 11% after falling 33% from their record high on Aug. 31. Chipmaker Nvidia also rallied.

TickerSecurityLastChangeChange %
I:COMPNASDAQ COMPOSITE INDEX10632.985307-330.65-3.02%
TSLATESLA INC.380.36-43.87-10.34%
NVDANVIDIA CORPORATION484.95-20.56-4.07%

Meanwhile, the Dow Jones Industrial Average, helped by Microsoft, tacked on 439 points, or 1.6%, after sporting a gain of more than 700 points in the final hour of trading.

TickerSecurityLastChangeChange %
SP500S&P 5003236.92-78.65-2.37%
I:DJIDOW JONES AVERAGES26763.13-525.05-1.92%
MSFTMICROSOFT CORP.200.59-6.83-3.29%

Other mega-cap tech stalwarts Alphabet Inc., Amazon Inc. and Apple Inc. also gained. Investors are eyeing Apple's Sept. 15 event which is reported to be focused on the Apple Watch.

TickerSecurityLastChangeChange %
GOOGALPHABET INC.1,415.21-50.25-3.43%
AMZNAMAZON.COM INC.2,999.86-129.13-4.13%
APPLn.a.n.a.n.a.n.a.

In late-day merger news, Simon Property Group and Brookfield Property are reportedly nearing a deal to rescue embattled retailer J.C. Penney, according to Reuters.

TickerSecurityLastChangeChange %
SPGSIMON PROPERTY GROUP INC.62.89-2.22-3.41%
BPYBROOKFIELD PROPERTY PARTNERS10.70-0.09-0.83%

Elsewhere, AstraZeneca Plc put its late-stage experimental COVID-19 vaccine trial on hold amid safety concerns after one of its participants experienced a suspected serious adverse reaction. The company is investigating whether the experimental drug was the cause of the illness.

French luxury brand group LVMH tabled its $16.2 billion deal for jeweler Tiffany & Co. due to “recent developments” that may include the possibility of new U.S. tariffs on French goods and the purchasee’s request to postpone the deal’s deadline to Dec. 31. Tiffany plans to pursue legal action.

TickerSecurityLastChangeChange %
AZNASTRAZENECA PLC55.66+0.22+0.40%
LVMUYLVMH MOËT HENNESSY LOUIS VUITTON SE92.44-0.09-0.10%
TIFTIFFANY & CO116.42+0.15+0.13%

On the jobs front, UPS will hire 100,000 seasonal workers to meet demand caused by the surge in online shopping.

UPS to hire 100,000 seasonal workers

TickerSecurityLastChangeChange %
UPSUNITED PARCEL SERVICE INC.161.55-0.34-0.21%
FDXFEDEX CORPORATION241.42-2.00-0.82%

Looking at earnings, workplace-messaging platform Slack Technologies Inc. reported an unexpected breakeven quarter and revenue that exceeded estimates, but its billing growth rate slowed.

Meanwhile, fitness apparel maker Lululemon Athletica Inc. reported earnings and revenue that topped expectations but warned higher marketing costs would weigh on profit in its holiday quarter.

TickerSecurityLastChangeChange %
WORKSLACK TECHNOLOGIES INC.26.37-0.04-0.15%
LULULULULEMON ATHLETICA INC.316.77+3.17+1.01%

Looking at commodities, West Texas Intermediate crude oil jumped $1.29 to $38.05 a barrel and gold added $11.70 to $1,944.70 an ounce.

U.S. Treasurys were modestly lower, causing the 10-year note yield to climb to 0.702%.

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In Europe, Germany’s DAX was out front, up 2.07% while Britain’s FTSE and France’s CAC were higher by 1.39% and 1.4%, respectively.

Asian markets ended lower across the board with China’s Shanghai Composite down 1.86%, Japan’s Nikkei off 1.04% and Hong Kong’s Hang Seng weaker by 0.63%.