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Seeking Alpha 2024-06-24 20:04:07

Dow, S&P, and Nasdaq ended mixed as tech stocks suffered

The investment community watched Wall Street’s major market averages close out Monday’s trading session mixed, as yields noticed limited moves and the tech sector suffered. On the day, the blue-chip Dow ( DJI ) finished on top by 0.6% . At the same time, the benchmark S&P 500 ( SP500 ) closed out the session lower by 0.3% , and the Nasdaq Composite (COMP.IND) ended lower as it lost 1.0% . From a sector point of view, nine of the 11 S&P segments rounded out Monday's trading on a higher note, with Energy at the top of the leaderboard. In reverse, the worst performing sector on the session was Info Tech. “While the short-term technical trend for equities is still bullish, the macroeconomic environment is highly uncertain, given the rising risks of a deflationary recession. Equity market valuations are historically elevated, and prudent long-term investors must continue to exercise caution in the face of FOMO,” Seeking Alpha analyst Ahan Vashi stated. The Treasury market experienced limited movement. The shorter end U.S. 2 Year Treasury yield ( US2Y ) was near flat at 4.73%. At the same time, the longer end U.S. 10 Year Treasury yield ( US10Y ) slid 1 basis point to 4.24%. See how other yields trade across the entire yield curve here . On the economic front, the Dallas Fed Manufacturing Index remained in negative territory in June. The index came in at -15.1 versus the forecasted -14.0 level. Moreover, investors will also keep their eyes peeled for May’s personal consumption expenditure data, which is expected to come at the end of the week. The data comes amid an environment where the Federal Reserve is looking for further signs of slowdown and a fall in inflation to start easing monetary policy. In the mega-cap space, Nvidia slid for a third straight trading session as it loses $300B in market cap . At the same time, Jefferies has raised its price target on NVDA’s stock to $150 per share from $135 per share and increased its estimates for the AI chipmaker. NVDA ended on Monday lower by 6.6% . Amazon ( AMZN ) is working on an artificial intelligence chatbot to compete with OpenAI's ChatGPT, and Chief Executive Andy Jassy is personally involved in the project. Also on the move were shares of Teladoc Health ( TDOC ) as it jumped 6.7% on the trading day after a presentation at the American Diabetes Association's 84th Scientific Sessions showed how artificial intelligence-predictive modeling can be used to help individuals control their blood sugar . Elsewhere in the market, Bitcoin ( BTC-USD ) continued its recent decline as the crypto asset dropped 5.8% after one of its worst trading weeks of the 2024 year. More on Markets Oppenheimer spotlights top buy/sell ideas for mid and small cap names UBS: ‘An economic slowdown is underway’ Top 10 performing S&P 500 names as first half looks to close out this week Stagflation Risks Fade, But Recession Odds Rise Can The Bull Market Keep On Kicking? Or Is It Growing Tired? The Answer May Surprise You

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