U.S. stock indexes held the high ground Friday afternoon, backfilling most of the previous session's losses.
The Nasdaq and S&P 500 plowed ahead 0.9% each, while the blue chip Dow Jones industrial average rose 1.1%. Small caps matched the Dow as the Russell 2000 gained 1.1%. Volume in the stock market today was lower on the NYSE but higher on the Nasdaq.
Chip stocks continued to show strength. The Philadelphia semiconductor index, known as the SOX, hit a new 52-week high for the second straight day. SOX components scoring big gains included NXP Semiconductors (NXPI), up 6; Qorvo (QRVO), up 4%; Monolithic Power Systems (MPWR), up 4.5% and at a new high; and Qualcomm (QCOM), up 2% and at a 52-week high.
Rumors said Qualcomm was in talks to buy NXP Semiconductors.
Blue chip stocks were up without exception in the 30-stock Dow. Caterpillar (CAT) rose for a fourth consecutive session with daily gains of 0.6%, 4.5%, 1% and so far today, 1.%. On Tuesday, Zacks Investment Research upgraded Caterpillar from a rating of hold to buy. Zacks said Caterpillar's Asia-Pacific sales rose 2% in August, the first positive reading since November 2012.
Among top-rated stocks, steel processor Worthington Industries (WOR) added nearly 2%, just above the 5% buy zone from a recent breakout. Other leaders posting nice gains included eBay (EBAY), up 2%, and Amazon.com (AMZN), up 1%.
Of IBD's 197 industry groups, discount chains led the upside while utilities brought up the rear.
Crude oil and gold made modest moves.
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