A day after Google reported better-than-expected earnings, its shares surged to a record high, lifting the Nasdaq and other tech stocks, like Facebook and Etsy. Bobbi Rebell reports.
Tech stocks drove the Nasdaq to a record high, The S&P 500 also moving hgher. A broad-based decline led by energy stocks dragged the Dow lower. A drop in oil prices hurt energy shares, like Dow components Exxon and Chevron. For the week, the Dow the Nasdaq and the S&P 500 were higher. Investors got data supporting the case for an interest rate hike this year: Consumer prices and housing starts rose in June. Consumer sentiment dipped this month but remained high. Helping pull up the Nasdaq: Google. Shares soared to a record high a day after the search giant reported strong growth in mobile ad revenue, and quarterly profit and sales beat expectations. Investors welcomed Google's new focus on spending, says Reuters Breakingviews columnist Rob Cyran: SOUNDBITE: ROBERT CYRAN, TECH COLUMNIST, REUTERS BREAKINGVIEWS (ENGLISH) SAYING: "The new CFO, she went on the call, and she made, she said lots of nice things about how Google's going to be very careful about how they spend their money." General Electric was the second biggest gainer on the Dow. The economic bellwether expanded quarterly profit in its core industrial business and hiked its outlook. The Greek relief rally faded, pushing European shares lower. But France's CAC 40 managed to break even.