A strong quarterly report by network equipment maker Cisco Systems (NASDAQ: CSCO) provided strength in the technology sector Wednesday, and German chipmaker Infineonâ€™s (NASDAQ: IFX) deal with Nokia made it one the top tech movers of the day.
Cisco Systems (Nasdaq: CSCO) posted strong profits for the previous quarter yesterday, as the firm also posted an optimistic outlook for the year. Shares rose 2.97 percent, or 0.81 percent, to $28.09 on the Nasdaq Stock Market.
The company earned $1.92 billion for its second quarter, or 31 cents a share, from $1.38 billion, or 22 cents, a year earlier. Profit surged nearly 40 percent as it brought in $2.1 billion for the quarter, or 33 cents per share.
Momentum is expected to continue into the fourth quarter, with projected revenues of $9 billion to $9.3 billion, an increase of 14 percent to 16 percent over the same period last year.
German chipmaker Infineon Technologies rose more than 10% to $15.59 by the end of trading, as it inked a deal to supply chips for the world's largest cell phone maker, Nokia.
The technology heavy Nasdaq Composite Index posted the largest gains among the major indices Wednesday, rising 19.01 points, or 0.77 percent, to 2,490.50 late Wednesday.
The Dow Jones industrial average fell 18.35 points, or 0.14 percent, to 12,647.96.
The Standard & Poor's 500 Index was up just 0.55 of a point, or 0.04 percent, at 1,448.55.