Technology stocks showcased by Nasdaq.
Peter Cramer | CNBC
letter and Tesla Climbs to new record on Wednesday, closes at all-time high Amazon and Yuan With the rise of technology giants, the Nasdaq exceeded 20,000 points for the first time.
Seven technology companies with market capitalizations of several trillion dollars increased their market value by approximately $416 billion that day.
For Alphabet, the two-day rally of 11% was driven by the company’s emission The company unveiled its latest quantum computing chip on Monday, describing it as a “breakthrough” in drug discovery, battery design and other areas and “an important step on the journey to building practical quantum computers with real-world applications.”
Alphabet closed at $195.40 on Wednesday, surpassing the previous high of $191.18 hit on July 10.
Tesla shares have been trading below previous records for a long period of time. Shares of the electric vehicle maker rose nearly 6% to $424.77 on Wednesday. climb This is above the closing high of $409.97 on November 4, 2021. Donald Trump’s Last month’s election victory, Wall Street optimistic about Tesla CEO Musk’s A rapport with the incoming president will pay dividends.
Amazon, apple and Meta regularly hit new highs, although Apple fell 0.5% on Wednesday. MicrosoftMeanwhile, the chipmaker’s shares are about 4% below the highs reached in July NVIDIA That’s down 6% from last month’s record.
The outsize weight of tech giants has driven Nasdaq The annual increase reached 33%. The index rose 1.8% on Wednesday to close at a record high of 20,034.89 points.
Markets have rallied since Trump’s victory on Nov. 4, in part on expectations that the new administration will ease regulatory pressure on the technology industry and allow more trading.
On Tuesday, Trump Andrew Ferguson Replacing Lina Khan, known for blocking takeovers by top tech companies, as the next chair of the Federal Trade Commission. Ferguson, currently one of five FTC commissioners, “will be the most America-first, most pro-innovation FTC chairman in the history of our country,” Trump wrote in a “Truth Society” post.
Tom Lee, managing partner of Fundstrat Global Advisors, said on CNBC’s “Closing Bell” program that investors expect technology stocks to rise as the Federal Reserve is expected to cut interest rates this month. consumer price index show The U.S. Bureau of Labor Statistics reported on Wednesday that the 12-month inflation rate in November was 2.7%, further strengthening the market prospects for interest rate cuts.
“We know that when interest rates come down, large companies are actually very sensitive to it, and I think today is a day when the likelihood of a rate cut in December increases,” Li said. “That’s actually good for tech stocks.”
