Market Recap: Tech Boost Drives S&P 500 and Nasdaq Higher on December 2, 2024
As the first trading day of December 2024 unfolds, Wall Street is experiencing a mixed but generally positive performance, with technology stocks leading the charge. This market recap provides an overview of the current market indexes, highlights upcoming events, and summarizes major stock news that’s shaping today’s trading landscape.
Current Market Performance
As of 11:30 a.m. ET on December 2, 2024, the major U.S. stock indexes are showing divergent trends:
– S&P 500 (.SPX): Up 0.19% to 6,043.57, briefly touching an all-time high
– Nasdaq Composite (.IXIC): Gained 0.85% to 19,380.43
– Dow Jones Industrial Average (.DJI): Down 0.23% to 44,807.84
The S&P 500 and Nasdaq are benefiting from a strong performance in the technology sector, with information technology, consumer discretionary, and communication services sectors each advancing about 1%. This tech-driven rally is offsetting weakness in other areas of the market.
Key Market Movers
Several stocks are making significant moves today:
1. Super Micro Computer (SMCI): Surged nearly 25% after announcing a search for a new finance chief and clearing up concerns about its accounting practices.
2. Intel (INTC): Gained 5.1% following the announcement of CEO Pat Gelsinger’s retirement. The broader semiconductor index (.SOX) is up 2.5%.
3. Tesla (TSLA): Leading gains among megacap stocks, up 2.2% after Stifel raised its target price to $411 from $287.
4. PG&E (PCG): One of the biggest drops in the S&P 500, down 5.4% after announcing plans to sell $2.4 billion of stock and preferred shares.
5. Stellantis (STLA): The automaker’s stock fell 6.4% in Milan following the announcement of CEO Carlos Tavares’ departure.
Upcoming Market Events
Investors are focusing on a series of important economic data releases this week:
1. November Nonfarm Payrolls Report: Due on Friday, this is the week’s centerpiece and a key metric for gauging the labor market’s health.
2. October Job Openings Report: Scheduled for release on Tuesday.
3. November Private Payrolls Data: Expected on Wednesday.
4. Federal Reserve Speakers: Several Fed officials, including Chair Jerome Powell, are set to make public appearances this week. Comments from Fed Governor Christopher Waller and New York Fed President John Williams are on the radar later today.
Market Sentiment and Economic Indicators
1. Manufacturing Activity: The Institute for Supply Management (ISM) reported that U.S. manufacturing activity improved in November, with the index rising to 48.7, beating estimates.
2. Federal Reserve Outlook: Market analysts, like Jay Woods from Freedom Capital Markets, suggest that in-line economic readings could keep the Federal Reserve on track to cut interest rates by 25 basis points in its upcoming meeting.
3. Political Landscape: The recent election results, with Donald Trump recapturing the White House and his party sweeping both houses of Congress, are seen as a potential tailwind for equities. However, concerns persist about the impact of his policies on inflation and the Fed’s rate easing cycle.
Looking Ahead
As we move through this data-heavy week, investors will be closely monitoring economic indicators for clues about the strength of the U.S. economy and potential shifts in Federal Reserve policy. The tech sector’s performance continues to be a key driver of market sentiment, while upcoming earnings reports and geopolitical developments may also influence market direction.
Stay tuned for further updates as this dynamic market environment unfolds.
