Wall St. Ends Mixed as Tech Stock Rally Sends S&P 500 and Nasdaq to Record Highs
On Monday, a slew of U.S. stock indexes ended the day in an ambivalent mandate, with the S&P 500 hitting a third consecutive session of a closing record high, largely supported by a strong tech stock rally as market participants appeared to anticipate a sky – cancellation of the earnings season in a context of low cost of borrowing over several years.
Apart from that, the tech-rich Nasdaq also hit a record high as Facebook Inc jumped more than 4% in late afternoon trading after a U.S. District Court judge of Columbia ruled against a U.S. FTC lawsuit to force the social media giant to divest its entire WhatsApp and Instagram stakes, ultimately sending Facebook Inc’s market capitalization above the 1 mark. Trillion dollars for the first time on record.
On top of that, mega-cap tech conglomerates such as Netflix Inc, Twitter, and Nvidia have been among the biggest boosts in the S&P 500 alongside the Nasdaq.. On the contrary, cyclical sectors fell sharply after news coverage emerged that a number of Asian economies had witnessed a resurgence of a pandemic outbreak.
Wall St. Ends Half-hearted As S&P 500, Nasdaq Hit Record
Citing statistics, during the Wall Street closing bell, the trade-sensitive Dow Jones fell 0.44% to 34,283.27 and the S&P 500 gained 0.23% to 4,290.61, covering a record rally in third consecutive session, as the Nasdaq surged 0.98 percent to 14,500.51, ending the day at a record closing high.
Meanwhile, citing that investors with a long buy position in cyclicals appeared to have taken the train of a wave of profitable selling at the end of the second fiscal quarter, a chief investment strategist at CFRA Research at New York, Sam Stovall said: “It’s the end of the quarter and investors may want to take profits, exit energy, and stick with tech.â.