Shares of technology companies rose sharply as wholesale inflation data quelled concerns about the outlook for economic conditions and interest rates. Some of the hardest hit stocks in the recent bout of volatility came storming back. Artificial-intelligence specialist Nvidia rose by more than 5%. Intel rose by more than 4% after reports it sold its stake in another AI darling, Arm Holding. There could be more volatility in the weeks ahead, as major indexes retest lows ahead of the presidential election, said one strategist. "The market just doesn't like uncertainty," said Eric Marshall, president of Dallas mutual-fund firm Hodges Capital. "There's definitely very polarizing policy differences between the two potential administrations out there, so I think the market would like just more visibility on what that looks like so that it can allocate capital [accordingly]." Until then, there are indications that major corporations are taking a wait-and-see approach. "Nobody's willing to stick their neck out," said Marshall. "Employers are maybe delaying some hiring."


Write to Rob Curran at rob.curran@dowjones.com

(END) Dow Jones Newswires

08-13-24 1746ET