Midday Movers: Tech Stocks and Home Depot Rise, Insurance Stocks Tumble

U.S. equities skyrocketed at midday as consumer inflation came in lower than expected, boosting optimism the Fed might not hike interest rates further to bring down prices. The news sent bond yields tumbling. The S&P 500 and Nasdaq were up about 2%, while the Dow gained 1.5%.

Tech stocks soared as they become more attractive when borrowing costs fall. The SPDR Select Sector Technology Fund (XLK) hit an all-time high.

Enphase Energy (ENPH) and other solar power company stocks rose. Home Depot (HD) was the best-performing stock in the Dow as the biggest home improvement retailer beat profit and sales estimates and said consumer demand for smaller projects remained strong.

Amazon (AMZN) shares also advanced on word the online retailing giant struck a deal with Snap (SNAP) for Snapchat users to buy items from Amazon without leaving the site. Snap shares jumped as well. 

Insurance company stocks dominated the list of worst-performers in the S&P 500, with Chubb (CB) and Cardinal Health (CAH) shares losing 2%. Shares of Arthur J. Gallagher (AJG) fell as the insurance broker announced it purchased Australia’s Edgar Insurance Brokers. Terms of the deal weren’t released. 

Oil and gold futures were up. The U.S. dollar dropped versus the euro, pound, and yen. Most major cryptocurrencies traded lower.