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Stocks Slip on Higher Bond Yields and Weak US Economic News, Tech Stocks Rally Despite Weak Economic Data and Elon Musk Calls Out Boeing's CEO

2024-07-04 07:02:38.056000

Stocks slipped due to higher bond yields and weak US economic news. The S&P 500 Index increased by 1.30 points or 0.02%. The Dow Jones Industrial Average rose by 0.91 points or 0.06%. The Nasdaq 100 Index went up by 18.53 points or 0.09%. Norwegian Cruise Ord and Carnival Corp experienced a decrease in stock prices. Royal Caribbean Cruises Ltd, Arm Holdings Plc ADR, Nxp Semiconductors, Globalfoundries Inc, Lam Research Corp, and O'Reilly Automotive also saw a decline in stock prices. On the other hand, Zimmer Biomet Holdings, Merck & Company, and Spirit Aerosystems Holdings had an increase in stock prices. Coinbase Global Inc Cl A, Marathon Digital Hldgs Inc, Riot Platforms Inc, and Birkenstock Holding Plc experienced a rise in stock prices. Despite weak economic data, the stock market saw gains fueled by the rally in tech stocks. The S&P 500 rebounded after a three-day drop, and Nvidia Corp. recovered from a significant plunge. The weak economic reports, including consumer confidence and home-price gains, did not deter traders. The Federal Reserve's commitment to keeping borrowing costs elevated also contributed to the market's resilience. Treasury yields remained stable, and Bitcoin reached a new high. Investor positioning favored US equities over European equities. Commodity Trading Advisors held significant long positions in global equities. Additionally, S&P futures climbed as investors await key US inflation data and Nike results disappointed. The market is awaiting insights into the Federal Reserve's monetary policy and any potential impact on the economy. Bank of America Corp stocks are down 1.81%, while Paramount Global Cl B stocks are up 2.30%. Investors are also keeping an eye on Crowdstrike Holdings Inc and Charter Communications Inc. The article highlights the hidden risks of share buybacks and provides a preview of Tesla's quarterly earnings. Apple stock is projected to have a 23% increase in value. The article also mentions a lithium stock with massive growth potential. The S&P 500 E-Mini is up 0.58% and the Nasdaq 100 E-Mini is up 5.72%. Weak US economic news is boosting hopes for Fed rate cuts. The S&P 500 Index is up 0.19% and the Dow Jones Industrial Average is down 0.24%. The Nasdaq 100 Index is up 0.48%. The 10-Year T-Note is up 7.56%. Paramount Global Cl B is up 5.11%. Freeport-McMoRan Inc is up 3.86%. Newmont Mining Corp is up 3.47%. ASML Holdings NY Reg ADR is up 3.37%. Arm Holdings Plc ADR is up 1.35%. MGM Resorts International is up 0.96%. Caesars Entertainment Inc is up 1.75%. Wynn Resorts Ltd is up 1.99%. Quest Diagnostics Inc is up 2.14%. Permian Resources Corp is down 2.26%. Riot Platforms Inc is down 1.83%. Elevance Health Inc is down 0.80%. The S&P 500 SPDR is up 0.21%. The Dow Industrials SPDR is down 0.93%. The Nasdaq QQQ Invesco ETF is up 0.49%. The 10-Year T-Note is up 0.81%. Stock index futures are slipping ahead of the US JOLTs report and Powell's remarks. The New York Stock Exchange ended mixed on Wednesday, with the NASDAQ and S&P 500 reaching new closing records. The NASDAQ gained 0.88% and the S&P 500 gained 0.51%, while the Dow Jones lost 0.06%. This is the 35th record closing high for the S&P 500 this year. The session was shortened by three hours due to the upcoming July 4 holiday. The market welcomed signs of a slowdown in US economic activity. The market expects the Fed to put more emphasis on full employment in its communication. The ADP consultancy reported that the private sector created 150,000 jobs in June, less than expected. The ISM index of service activity fell to 48.8 in June, indicating a contraction. Bond rates have pulled back, with the yield on 10-year US government bonds at 4.35%. Semiconductors led the NASDAQ, with stocks like Nvidia, Broadcom, and Micron performing well. Tesla also saw gains after announcing better-than-expected quarterly sales figures. Paramount Global rose after reports of an agreement to buy National Amusements. Southwest Airlines implemented a "poison pill" mechanism to counter the increase in capital by Elliott. Canada's main stock index rose 1.2 percent. In New York, the Dow Jones fell, while the S&P 500 and NASDAQ rose. The Canadian dollar was trading at 73.33 US cents. Crude oil prices rose, while natural gas prices fell. Gold and copper prices also saw gains.

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