The New York stock market stumbled on Tuesday, reversing course just a day after JPMorgan CEO Jamie Dimon criticized investors’ overly complacent attitude.
Unlike the previous day when the New York market withstood the shock of Moody’s U.S. credit rating downgrade, today it showed a bearish trend from the start and failed to rebound.
The M7 big tech stocks showed mixed performance.
Decline
All three major indices struggled throughout the trading session, unable to shake off the bearish sentiment.
The Dow Jones Industrial Average, comprising 30 blue-chip stocks, recorded the smallest decline, buoyed by strength in the healthcare sector.
The Dow closed down 114.83 points (0.27%) at 42,677.24.
Amid weakness in tech stocks, the S&P 500 and Nasdaq both fell nearly 0.4%.
The S&P 500 ended the day down 23.14 points (0.39%) at 4,940.46, while the Nasdaq Composite lost 72.75 points (0.38%), closing at 19,142.71.
The CBOE Volatility Index (VIX), often referred to as Wall Street’s fear gauge, remained relatively stable, dropping 0.05 points (0.28%) to 18.09.
M7, Only Tesla Rises
Among the M7 big tech stocks, Tesla emerged as the sole gainer.
Nvidia shares retreated 1.19 USD (0.88%) to 134.38 USD, while Apple stock fell 1.92 USD (0.92%) to 206.86 USD.
Alphabet dropped 2.55 USD (1.52%) to 165.32 USD, and Microsoft slipped 0.70 USD (0.15%) to 458.17 USD.
Amazon shares declined 2.09 USD (1.01%) to 204.07 USD, and Meta Platforms fell 3.33 USD (0.52%) to 637.10 USD.
However, Tesla surged over 2% in afternoon trading before closing up 1.73 USD (0.51%) at 343.82 USD.
The rise in Tesla stocks came after CEO Elon Musk pledged to scale back his political activities and focus on leading Tesla for the next five years.
Adding to the positive sentiment, Citi Group analyst Jeff Chung reported that Tesla’s sales in China had skyrocketed to 11,150 units last week, a 3.6-fold increase from 3,040 units two weeks prior.
D-Wave Quantum Soars 26%
Shares of quantum computing startup D-Wave Quantum surged 26%.
About four years after launching the Advantage quantum computing system in September 2020, the company unveiled its sixth-generation quantum computer system, Advantage2, sparking investor enthusiasm.
D-Wave stated that Advantage2 is now available through its cloud system, and can tackle complex problems in logistics and supply chain optimization that traditional computers struggle to solve efficiently.
D-Wave’s stock soared 3.41 USD (25.93%) to close at 16.56 USD.
IonQ saw a modest gain, closing up 0.22 USD (0.63%) at 35.31 USD.
However, Rigetti fell 0.13 USD (1.08%) to 11.92 USD, and Quantum Computing Inc. dropped 0.32 USD (2.70%) to 11.51 USD.
Vaccine Stocks Rally on FDA Decision
COVID-19 vaccine manufacturers saw their stocks surge.
This was due to the decision of the U.S. Food and Drug Administration (FDA) to continue recommending COVID-19 vaccinations for the elderly and those with underlying health conditions.
Moderna shares jumped 1.60 USD (6.06%) to close at 27.99 USD, while Pfizer stock climbed 0.52 USD (2.26%) to end the day at 23.52 USD.
