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FX.co ★ Tech-Heavy Nasdaq Showing Strong Move Back To The Upside

Tech-Heavy Nasdaq Showing Strong Move Back To The Upside

Stock markets saw a positive shift on Tuesday, rebounding from the previous session's downturn. All major indices advanced, with the Nasdaq, known for its technology focus, leading the charge.

As of now, the Nasdaq is slightly below its peak for the session, climbing 336.75 points, or 1.7%, to reach 19,678.59. The S&P 500 rose by 46.86 points, or 0.8%, to 6,059.14, while the Dow Jones increased by 112.19 points, or 0.3%, to 44,825.77.

The strength in the market is partly attributed to traders seeking out technology stocks, which are viewed as bargains following Monday's sector sell-off. Notably, Nvidia (NVDA) shares surged by 6.5% after plummeting 17% in the previous session.

Nonetheless, the buying momentum is somewhat restrained as traders eagerly await the Federal Reserve's monetary policy announcement scheduled for Wednesday. Although it is widely anticipated that the Fed will maintain the current interest rates, investors are expected to scrutinize the accompanying statement for any hints regarding future rate decisions.

Recent economic reports have sparked concerns about the potential for the Fed to maintain steady rates for an extended period. However, many economists still predict that rate cuts might resume in the first half of the year.

According to the CME Group's FedWatch Tool, there is a 74.5% probability of a rate reduction of at least a quarter point after the Fed's June meeting.

In domestic economic updates, the Commerce Department released a report showing an unexpected and sharp decline in new orders for U.S. manufactured durable goods in December, mainly due to a decrease in transportation equipment orders.

Durable goods orders fell by 2.2% in December following a revised decrease of 2.0% in November. Economists had forecasted a 0.8% increase, contrasting sharply with the previous monthly decline initially reported at 1.2%.

यह भी देखें: आप यहां एक ट्रेडिंग खाता खोल सकते हैं

Excluding transportation equipment, which saw a significant drop, durable goods orders actually rose by 0.3% in December after a slight 0.2% dip in November. The ex-transportation orders were predicted to rise by 0.4%.

The Conference Board also reported a decrease in its U.S. consumer confidence index, which slipped to 104.1 in January from a notably revised 109.5 in December. Economists had expected an increase to 106.3 from the originally reported 104.7 for December.

**Sector Highlights**

On the sectoral front, software stocks are showing robust performance, with the Dow Jones U.S. Software Index jumping 2.9%. Brokerage stocks are also performing well, marked by a 1.0% increase in the NYSE Arca Broker/Dealer Index.

In contrast, airline stocks have shown significant upward momentum, contributing to a 2.9% decrease in the NYSE Arca Airline Index. Weakness is also noted in computer hardware, utilities, and housing stocks, which are tempering broader market gains.

**Global Markets**

Internationally, stock markets across the Asia-Pacific region predominantly closed lower, influenced by the closure of several major markets due to holidays. Japan’s Nikkei 225 Index declined 1.4%, while Australia’s S&P/ASX 200 Index saw a minor dip of 0.1%.

Meanwhile, European markets displayed mixed results. The French CAC 40 Index decreased by 0.1%, whereas the U.K.'s FTSE 100 Index climbed by 0.4%, and Germany's DAX Index rose by 0.7%.

In the bond market, treasury prices fell as traders anticipate the Fed's forthcoming announcement. Consequently, the yield on the benchmark ten-year note, which inversely correlates with its price, increased by 4.7 basis points to 4.575%.

*यहाँ दिया गया बाजार का विश्लेषण आपकी जागरूकता को बढ़ाने के लिए है, यह ट्रेड करने का निर्देश नहीं है
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