Tech Stocks Buoyed by Google Antitrust Ruling as Labor Data Sparks Rate-Cut Bets
US equities diverged sharply as regulatory relief for Alphabet's Google lifted tech shares while weak job openings data reignited recession fears. The Nasdaq Composite climbed 0.5% as a federal judge rejected demands to break up Google's search dominance, allowing continuation of its lucrative Apple partnership. Alphabet and Apple shares rallied on the reprieve from worst-case antitrust scenarios.
The Dow Jones Industrial Average fell 0.5% as JOLTS data showed cooling labor demand, boosting September Fed rate cut probabilities to 68%. Treasury yields retreated from multi-year highs, with the 10-year note paring gains after nearly breaching 5% overnight. Market participants now await Friday's nonfarm payrolls for confirmation of labor market softening.
