Market Summary for January 6th

Market Summary for January 6th

Nasdaq and S&P 500 Gain Amid Tech Stock Rally
The Nasdaq Composite and S&P 500 closed higher on Monday, driven by a surge in technology and semiconductor stocks.

• Nasdaq Composite: Rose 1.2% to 19,865.
• S&P 500: Increased 0.6% to 5,975.4.
• Dow Jones Industrial Average: Declined 0.1% to 42,706.6.

Sector Performance:

• Top Gainer: Communication services, up 2.1%.
• Biggest Loser: Real estate.

Key Stock Highlights:

• Micron Technology (MU): Gained nearly 11%, leading the S&P 500 and second on the Nasdaq.
• Super Micro Computer: Rose 9.4%, the second-best performer on the S&P 500.
• MicroStrategy: Led gains on the Nasdaq.
• ASML and ARM: Also among Nasdaq's top performers.
• Nvidia: Topped the Dow, up 3.4%.

Corporate News:

• US Steel and Nippon Steel: Filed a lawsuit against President Biden’s decision to block their deal. US Steel shares surged 8.1%.
• Disney and FuboTV: Announced a merger of Hulu + Live TV and FuboTV, granting Disney a 70% stake in FuboTV. FuboTV shares skyrocketed 251%, while Disney dipped 0.1%.
• Axon Enterprise and Palantir Technologies: Declined 5.1% and 5%, respectively, marking the worst performances on the S&P 500 and Nasdaq.

Economic Updates:

• Treasury Yields:
  • 10-Year Yield: Rose by 1.7 basis points to 4.61%.
  • Two-Year Yield: Fell by 1.7 basis points to 4.26%.
• Federal Reserve:
  • Governor Lisa Cook urged caution in further interest rate cuts, citing progress on disinflation but noting more work is needed to reach the 2% inflation target.
• US Services Sector:
  • Expanded to a 33-month high in December, with new orders growing at the fastest pace since March 2022, according to S&P Global.
  • “The strong services PMI sets the US economy up for a strong start to 2025,” said Chris Williamson, Chief Business Economist at S&P Global Market Intelligence.

Commodities:

• West Texas Intermediate (WTI) Crude Oil: Fell 0.7% to $73.46 per barrel.
• Gold: Dropped 0.3% to $2,645.70 per troy ounce.
• Silver: Increased 1.3% to $30.46 per ounce.