US STOCKS-'Reopening' stocks give S&P 500, Dow strong footing, tech names lag

* Dow up 0.7%, S&P 500 up 0.27%, Nasdaq down 0.48%
* Energy, materials and consumer staples lead sectoral gains
* Ebay gains as it is exploring crypto and NFTs
* Estee Lauder falls as Q3 revenue misses estimates
* U.S. manufacturing sector slows in April

(Updates after market close)
By Krystal Hu and Shreyashi Sanyal
May 3 (Reuters) - The S&P 500 and the Dow indexes ended
higher on Monday amid a largely upbeat earnings season, while
the Nasdaq came under pressure from declines in some high-flying
growth stocks, as the rotation into cyclical and "economy
reopening" stocks continued.
Economy-sensitive cyclical S&P 500 sectors such as consumer
staples .SPLRSC , energy .SPNY , and materials .SPLRCM
outperformed sectors housing growth stocks, including technology
.SPLRCM and communication services, .SPLRCL .
The largest percentage gainer on the S&P 500 was oil field
services firm Baker Hughes BKR.N , which rose 8%. Apparel
retailers also finished strong, with Gap Inc GPS.N shares
jumping 7.1% and Foot Locker Inc FL.N up 4.1%.
"All of those names that are having outsized gain today are
as a result of economic reopening optimism, and people getting
out of the house spending money on things," said Michael James,
managing director of equity trading at Wedbush Securities.
The Dow Jones Industrial Average .DJI rose 0.7% to close
at 34,113.23 points, while the S&P 500 .SPX gained 0.27% to
4,192.66. The Nasdaq Composite .IXIC dropped 0.48%, to
13,895.12.
Volume on U.S. exchanges was 10.29 billion shares, compared
with the 9.86 billion average for the full session over the last
20 trading days.
"We've seen a slight change in the pace of value stocks
outperforming growth stocks year-to-date," said Rod von Lipsey,
managing director at UBS Private Wealth Management.
The Nasdaq index fell as megacap technology stocks,
including Amazon.com Inc AMZN.O , Alphabet Inc GOOGL.O ,
Facebook Inc FB.O and Microsoft Corp MSFT.O , traded lower
despite largely upbeat results.
The stocks have struggled to maintain the upward trajectory
coming into reporting season. Chipmakers also fell, with the
Philadelphia SE Semiconductor index .SOX down by 1.2%.
With more than half of S&P 500 companies having reported so
far, profits are now seen rising 46% in the first quarter,
compared with forecasts of 24% growth at the start of April,
according to IBES data from Refinitiv. About 87% of the
companies have come also reported earnings per share ahead of
analysts' estimates.
"This is now the fourth straight quarter of earnings just
absolutely crushing estimates," said Ross Mayfield, investment
strategy analyst at Baird. "I think there just continues to be
an underestimation of how strong this rally and how strong the
economy is rebounding."
Strong earnings, improving economic data, fiscal stimulus
and the Federal Reserve's ultra accommodative stance have
supported markets, pushing the S&P 500 and the Nasdaq indexes to
record levels last week.
U.S. manufacturing activity grew at a slower pace in April,
likely constrained by shortages of inputs amid pent-up demand
due to rising vaccinations and massive fiscal stimulus.
The Labor Department's non-farm payrolls data, slated to be
released on Friday, is expected to show a rise in job additions
in April.
The largest decliner was Estee Lauder EL.N , which dropped
7.9% after the cosmetics maker missed analysts' estimates for
third-quarter sales. The largest gainer on the Nasdaq 100 was Ebay Inc EBAY.OQ ,
which rose 4.2% after the e-commerce firm says it is open to
accepting to cryptocurrencies in future.
T-Mobile TMUS.O , Uber UBER.K , Lyft LYFT.O , Square
SQ.N , Peloton PTON.O and Pfizer PFE.N are poised to report
results later this week.