After the bell, shares of Alphabet and Amazon rallied on strong earnings results. Fred Katayama reports.
Strong earnings from tech companies lifted the Nasdaq to a record high. Tech investors chose to focus on corporate report cards over President Donald Trump's tax plan. But the S&P 500 and Dow were flat Jacob Rappaport of INTL FC Stone Financial says geopolitical tensions keep the markets from making big moves. SOUNDBITE: JACOB RAPPAPORT, HEAD OF EQUITY CAPITAL MARKETS, INTL FC STONE FINANCIAL (ENGLISH) SAYING: "Right now it is very political in that we're weighing what's going to happen with the Trump tax plan, pending government shutdown, and later on, of course, into the German elections in the fall along with underlying tensions between Syria, North Korea, and of course, Russia." Some of the biggest tech bellwethers reported results after the markets' close. Alphabet shares rose after Google's parent reported quarterly revenue shot up 22 percent. Driving them higher: a surge in advertising on mobile devices and its YouTube video service. Amazon shares also rose after hours. Growth in online retail sales and its cloud business helped boost profit more than 41 percent at the world's biggest online retailer. But Microsoft shares were lower even though demand for cloud computing services lifted profit nearly 28 percent. Intel fell after the world's largest chipmaker's rising revenue disappointed analysts. In economics news, the number of Americans filing for jobless benefits rose more than expected last week. But that remained consistent with tightening labor market conditions. New orders for capital goods rose less than expected in March. But a rise in shipments suggest business investment accelerated in the first quarter. In Europe, bank stocks fell, pulling down the broader markets, after the European Central Bank kept interest rates steady.