Wall Street Today | First of Mag 7 Earnings Disappoint While Apple and Microsoft Vie for #1

Treasury yields pulled back from declines seen on Wednesday after data showed U.S. businesses experienced a strong upturn in activity at the start of the year. In data released on Wednesday, the S&P flash U.S. services and manufacturing PMI reports both jumped in January.

The services reading of business activity rose to a seven-month high of 52.9 from 51.4 in December, while the manufacturing gauge of output climbed to a 15-month high of 50.3 from 47.9 previously.

The U.S. Treasury's auction of $61 billion worth of 5-year notes is scheduled for 1 p.m. Eastern time. The prospect for some volatility in yields ramps up on Thursday with the release of weekly initial jobless claims, a preliminary reading of fourth-quarter gross domestic product and December's durable-goods orders. On Friday, the December personal consumption expenditures index, the Fed's favored inflation gauge, will be published.

ASML President and Chief Executive Officer Peter Wennink said he sees 2024 as "an important year to prepare for significant growth that we expect for 2025." ASML shares surged 10% as Europe's largest tech company reported that fourth-quarter orders more than tripled from three months earlier amid a rebound in demand.

"Industry end-market inventory levels continue to improve, and litho tool utilization levels are beginning to show improvement," Wennink said, referring to the company's extreme ultraviolet (EUV) lithography systems that enables mass production of the world’s most advanced microchips. "Our strong order intake in the fourth quarter clearly supports future demand."

Semiconductor stocks tracked by moomoo advanced 2.2% led by Nvidia. Shares of the market-leader in chips used in artificial intelligence climbed back above $600, touching an intraday record of $628 Wednesday afternoon. AMD shares soared as much as 7.2% to an all-time intraday high of $180.58.