The Invesco QQQ Trust, Series 1 (NASDAQ: QQQ) advanced 1.1% to close at 749.83 on Friday, reaching a new record high. The rally was driven by a weaker-than-expected U.S. jobs report, which reduced market expectations for further Federal Reserve interest rate hikes.
The Labor Department reported that nonfarm payrolls rose by only 29,000 in September, significantly below the anticipated range of 84,000 to 90,000. The unemployment rate also increased to 4.2% from 4.1%. These figures led investors to lower the probability of a rate hike at the October Federal Reserve meeting to 17%.
Chip stocks led the technology sector, with Nvidia Corp. (NASDAQ: NVDA) hitting a record price of $237.88 per share. The broader Nasdaq 100 index also climbed to a new record of 30,825. The S&P 500 gained 0.6% to 7,714, while the Dow Jones Industrial Average rose 0.3% to 51,066.
Within the QQQ portfolio, semiconductor-related names surged. The VanEck Semiconductor ETF (NASDAQ: SMH) jumped 2.7%, and the Invesco Solar ETF (NYSE: TAN) gained 2.1%. Specific gainers included Allegro MicroSystems Inc. (+8.5%), Innio N.V. (+8.5%), and MACOM Technology Solutions Holdings Inc. (+7.9%).
Conversely, some large-cap stocks within the index faced pressure. Nike Inc. (NYSE: NKE) dropped 5.7% after reporting weak fiscal first-quarter revenue and a grim full-year outlook. Accenture plc (NYSE: ACN) fell 5.1% after reporting fiscal fourth-quarter earnings, and Western Digital Corp. (NASDAQ: WDC) was the worst performer in the Russell 1000, sinking 12.5% following news from Toshiba regarding hard disk drive production.
