The New York stock market closed with mixed results on Monday after a day of volatility.
The tech-heavy Nasdaq dipped 0.10%, while the Dow Jones Industrial Average and the S&P 500 continued their upward trend.
This marked the fifth straight day of gains for the Dow and S&P 500 since April 22, though the Nasdaq’s winning streak came to an end.
Tesla managed to extend its rally for a fifth day, recovering its early setbacks. After plunging over 4% in early trading, Tesla closed up 0.3%.
Meanwhile, Nvidia shares took a hit, falling more than 2% following reports that Huawei had developed its own AI semiconductors.
Mixed Results
The Dow and the S&P 500 both closed higher for the fifth consecutive session.
The Dow, comprising 30 blue-chip stocks, finished at 40,227.59, up 114.09 points (0.28%).
The S&P 500, composed of both blue-chip and technology stocks, has a higher concentration of tech stocks due to market capitalization weight. It edged up 3.54 points (0.06%) to close at 5,528.75.
The Nasdaq, dominated by technology stocks, struggled throughout the day, ending down 16.81 points (0.10%) at 17,366.13, although it managed to recover most of its earlier 1.46% decline.
Tesla and Nvidia
The mixed performance of major tech stocks, known as the Magnificent Seven, contributed to the market’s mixed results.
Tesla’s stock price, which has surged 25.7% over the past five trading days, saw a sharp decline of 4.4% around noon, falling to 272.42 USD. However, it recovered some of its losses and closed at 285.88 USD, up 0.93 USD (0.33%).
This recent rally marks a significant turnaround for Tesla, which had previously experienced a 33.2% drop during the first 100 days of the Trump administration.
Nvidia’s stocks fell sharply as much as 4.5% to 106.62 USD following news that Huawei had developed the Ascend 910D, an AI semiconductor more powerful than Nvidia’s H100.
This news, coupled with the Trump administration’s restrictions on AI chip exports to China, raises concerns about Nvidia’s future performance in the Chinese market.
Despite a decrease in Nvidia’s revenue from China, the region still accounted for 13% of the company’s total sales last year. However, according to estimates by DA Davidson, factoring in smuggling and other factors, up to 40% of Nvidia’s total revenue could be attributed to the Chinese market.
After the initial shock, Nvidia managed to recover some of its losses and closed down by 2.28 USD (2.05%) at 108.73 USD.
Mixed Sentiment for M7 Stocks
As earnings season approaches, other tech giants showed mixed results.
Apple, set to report on May 1, gained 0.41% to close at 210.14 USD. Amazon, however, slipped 0.68% to 187.70 USD. Microsoft and Meta Platforms, both scheduled to report on April 30, saw divergent movements, with Microsoft down 0.18% to 391.16 USD and Meta up 0.45% to 549.74 USD.
