Nasdaq and S&P 500 Rise as Nvidia Surges Ahead
The Nasdaq was up more than 1% on Monday, and the S&P 500 also showed positive movement in afternoon trading. Shares of Nvidia (NASDAQ: NVDA) experienced a significant jump of over 6% as investors awaited the company's earnings report due on Wednesday, reflecting optimism in the market.
Dow Jones Slips, While Treasury Yields Hit 15-Year High
In contrast to the Nasdaq's rise, the Dow Jones Industrial Average slightly edged lower. Meanwhile, the yield on the benchmark 10-year Treasury escalated to a 15-year high, with investors casting a cautious eye towards the Jackson Hole meeting in Wyoming, where central bankers will convene on Thursday.
Nvidia's Price Target Raised, AI Tech Stock Rally Continues
Nvidia's shares rose 6.4% after HSBC increased its price target to $780. This marked the second-highest target on Wall Street. Nvidia outshone its competitors with gains in the last week, and as one of the leading beneficiaries of this year's AI tech stock rally, the company is predicted to announce quarterly revenue surpassing analysts' expectations.
Market Prospects and Concerns About Higher Interest Rates
The market looks to Nvidia as a leading AI brand, with growing expectations. However, investors are equally keen to hear Federal Reserve Chair Jerome Powell's remarks at Jackson Hole. Fears that the Fed may sustain higher interest rates are causing concerns about the potential impact on businesses and consumers.
Detailed Market Performance Including Key Stocks
The Dow Jones Industrial Average fell slightly, while the S&P 500 and Nasdaq Composite gained. Among stocks impacting the Dow, Johnson & Johnson lost 2.5%, and Goldman Sachs was down 1.3%. On a positive note, Palo Alto Networks surged 15.7% following an optimistic annual billings forecast.
Overview of Market Ratios and New Highs and Lows
The day ended with declining issues outnumbering advancing ones on both the NYSE and Nasdaq. Additionally, the S&P 500 registered 2 new 52-week highs and 18 new lows, while the Nasdaq Composite recorded 31 new highs and 182 new lows, reflecting the mixed sentiments in the market.