Stocks Rose in a Quiet Trading Session

U.S. stocks ended higher in a quiet day, trimming some of the week's losses. Choppy action this week has come amid uncertainty regarding the ultimate economic impact of aggressive central bank monetary policy tightening, and as investors speculate on the trajectory of future rate hikes. Employment data dominated the economic calendar, as jobless claims ticked higher. Equity news was upbeat, as Ciena Corporation rallied after beating the Street's expectations, while Dow component Chevron Corporation and Exxon Mobil Corporation both said their 2023 capital expenditures will be at the high end of their guidance. Treasury yields rose, and the U.S. dollar declined, while crude oil prices lost ground, and gold was higher. Asian stocks finished mixed as Hong Kong markets jumped on optimism of further easing of COVID restrictions in the city, and European stocks were mostly lower as the global markets continued to grapple with recessionary concerns as monetary policies tighten.

The Dow Jones Industrial Average increased 184 points (0.6%) to 33,781, the S&P 500 Index went up 30 points (0.8%) to 3,964, and the Nasdaq Composite rose 123 points (1.1%) to 11,082. In moderate volume, 3.9 billion shares of NYSE-listed stocks were traded, and 4.2 billion shares changed hands on the Nasdaq. WTI crude oil lost $0.55 to $71.46 per barrel. Elsewhere, the gold spot price ticked $2.30 higher to $1,800.30 per ounce, and the Dollar Index declined 0.3% to 104.81.

Ciena Corporation (CIEN $52) reported adjusted fiscal Q4 earnings-per-share (EPS) of $0.61, well above the $0.08 FactSet estimate, as revenues declined 6.8% year-over-year (y/y) to $971 million, easily topping the Street's forecast of $850 million. The networking equipment maker said its stronger-than-expected results were driven by favorable supply chain developments in the second half of the quarter and looking ahead, it expects to deliver outsized revenue growth in 2023 given its significant backlog and continued signs of gradual supply improvement. Shares rallied nearly 20%.

Dow member Chevron Corporation (CVX $174) announced its 2023 capital expenditure plan of $14.0 billion for consolidated subsidiaries and $3.0 billion for equity affiliates, which came in near the high end of the company's guidance. CVX said its consolidated affiliate capital expenditure budget is up more than 25% from 2022, but its affiliate spending outlook is down modestly from 2022. Shares were modestly higher as crude oil prices relinquished an early rally.

Exxon Mobil Corporation (XOM $104) raised its share buyback guidance to $50 billion from $30 billion, while also announcing its 2023 capital expenditure plan that was at the high end of its range that it forecasted. XOM gained ground.