Nasdaq Reaches New Record Closing High

(RTTNews) - Following the sell-off seen in the previous session, stocks showed a substantial rebound over the course of the trading day on Wednesday. The tech-heavy Nasdaq more than offset yesterday's loss to reach a new record closing high.

Semiconductor stocks showed a particularly strong move to the upside on the day, driving the Philadelphia Semiconductor Index up by 3.9 percent. With the gain, the index reached its best closing level in over fourteen years.

Broadcom (BRCM) helped to lead the semiconductor sector higher, soaring 21.8 percent amid reports the chipmaker is close to being acquired by Avago Technologies (AVGO).

Considerable strength was also visible among airline stocks, which regained ground after falling sharply over the past few sessions. The NYSE Arca Airline Index jumped 2.1 percent, bouncing off a five-month closing low.

Telecom stocks also turned in a strong performance, resulting in a 1.7 percent advance by the NYSE Arca Telecom Index. Frontier Communications (FTR) surged up by 7.3 percent after a double upgrade by Morgan Stanley.

Computer hardware, software, brokerage, and biotechnology stocks also saw notable strength on the day, moving higher along with most of the other major sectors.

The major averages all closed firmly positive, although the Nasdaq outperformed its counterparts. The Nasdaq surged up 73.84 points or 1.5 percent to 5,106.59, while the Dow climbed 121.45 points or 0.7 percent to 18,162.99 and the S&P 500 advanced 19.28 points or 0.9 percent to 2,123.48.