Tech Stocks Rebound While Nike Struggles Amid China Sales Slump

Wall Street saw gains on Friday with technology stocks rebounding from earlier losses. Nike's shares fell sharply due to weak sales in China, impacting its quarterly results. Tech giants were buoyed by optimism in AI-related shares. Fed rate cuts and 'Santa rally' prospects were on investors' minds heading into year's end.

Wall Street's primary indexes climbed on Friday, led by a rally in technology stocks, as Nike's shares took a hit due to poor sales performance in China.

Boosted by Micron Technology's strong forecasts, tech giants saw renewed optimism despite recent pressure on AI-related valuations. However, Nike's stock plummeted 10.2% after reporting consecutive quarterly margin declines.

Economic data indicated less-than-expected inflation, with traders betting on possible Fed rate cuts in 2026. Investors were also considering the likelihood of a 'Santa rally' in upcoming days, while higher volatility was expected due to 'triple witching.'

(With inputs from agencies.)