Why Shopify Stock Was Popping Today
Shares of Shopify (NYSE: SHOP) were climbing today even though there was no company-specific news out on the e-commerce software leader. Instead, macro-level news and several strong earnings reports gave investors some confidence that a recession could be averted.
That prompted a surge in beaten-down tech stocks like Shopify, which was up 10.5% as of 3:17 p.m. ET. At the same time, the tech-centric Nasdaq gained 2.6%, and the S&P 500 gained 1.6%.
Stocks rallied this morning as macro-level data showed the U.S. economy continuing to grow in spite of fears of a recession. The Institute for Supply Management's service index showed accelerating expansion in July with its index reading from 55.3 to 56.7. Growth in new orders was solid, and services companies reported lower prices, a sign that inflation may be easing.
Source Fool.com
