Tech stocks take Nasdaq, S&P close to record

Traders work on the floor of the NYSE in New York

Traders work on the floor of the NYSE in New York

Investors are more comfortable with FAANG stocks and technology as far as valuations go, and these stocks have higher margins", Tom White, chief market strategist at TradeWise Advisors, in Chicago, Illinois, told Reuters.

The Nasdaq Composite Index increased 4.66 points, or 0.06 per cent, to 7,888.33.

US stocks closed mixed as investors monitored the latest development of US-China trade conflicts.

The Dow Jones Industrial Average shed 196.09 points, or 0.8 per cent, to 25,313.14.

The S&P 500 lost 7.07 points, or 0.2 per cent.

Shares of Apple rose 0.8 percent, while those of Amazon AMZN.O were up 0.6 percent.

The number of Americans filing for unemployment benefits unexpectedly fell last week, a Labor Department report showed.

About 5.9 billion shares changed hands on United States exchanges.

The energy sector was the biggest loser, dragged down by Occidental Petroleum, the largest Permian producer, which boosted its capital expenditure.

The Dow is up 790.01 points, or 3.2 per cent.

Markets in Europe were also turbulent with Germany's DAX falling two percent, French CAC 40 falling nearly two percent, and Britain's FTSE 100 declining 0.8 percent.

Shares of trade-sensitive companies declined, with Boeing, 3M and Caterpillar down between 2.3 percent and 4 percent.

Bank shares led the way lower in the U.S.as Bank of America, Goldman Sachs and Morgan Stanley all dropped at least 1 percent.

Chip stocks fell after Morgan Stanley downgraded the USA semiconductor industry, saying upside to estimates is hard to come by. Micron (MU.O), Applied Materials (AMAT.O) and ON Semiconductor (ON.O) fell between 1.8 percent and 2.4 percent.

The S&P 500 was in slightly positive territory most of the day, putting it once again close to the record high it hit January 26.

Declining issues outnumbered advancers for a 1.63-to-1 ratio on the NYSE and for a 1.06-to-1 ratio on the Nasdaq.

Recommended News

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.