US stocks rebound after strong Amazon results

Shares of Amazon surged Friday following strong results, helping to prompt a rebound in the broader market after US stocks declined the prior day.
Amazon rose about 12 percent after reporting a 40 percent jump in profits to $21.2 billion, powered by surging demand for its cloud computing services.

About the Dow Jones Industrial Average was up 0.1 percent at 47,567.45.


The broad-based S&P 500 gained 0.5 percent to 6,852.71, while the tech-rich Nasdaq Composite Index jumped 0.9 percent to 23,792.64.

The robust Amazon results reassured investors about the prospects for huge profit growth due to artificial intelligence breakthroughs after disappointing results from Meta and Microsoft weighed on the market on Thursday.

"It's amazing how the mood changes," said Steve Sosnick of Interactive Brokers.

"It vindicates those who were inclined to buy into yesterday's dip, it's allowing people to be enthusiastic about large cap tech stocks again," he said. "And as those stocks go, so follows the market, it's just math."

Among individual companies, Netflix climbed 3.2 percent after the streaming company announced a ten-for-one stock split.