Markets

Stock Market Today: Nasdaq, Tech Stocks Continue to Regain Their Poise

The technology sector took off again on a news-light Tuesday, though Apple (AAPL) didn't contribute much after a set of product and service reveals.

Technology and tech-related stocks resumed their leadership role on Tuesday amid a relatively calm, news-light Tuesday.

The New York Federal Reserve's Empire State Manufacturing Index jumped to a reading of 17 for September, versus expectations of just 6. (Any reading in positive territory indicates growth). And a Chinese health official said vaccines being developed there might be ready for general distribution as early as November.

The highest-profile gains could be found in the tech and communications sectors, with blue chips such as Facebook (FB, +2.4%), Qualcomm (QCOM, +2.8%) and Netflix (NFLX, +4.1%) all posting solid advances. That helped the tech-heavy Nasdaq Composite rally yet again, up 1.2% to 11,190.

Other action in the stock market today:

  • The Dow Jones Industrial Average shed most of its early gains, eking out a mere 2 points of progress to finish at 27,995.
  • The S&P 500 gained 0.5% to 3,401.
  • The Russell 2000 climbed just 1 point to 1,538.

An Uneven Market

Tuesday featured a few other trends worth paying attention to.

"Tech stocks continue to rebound, after last week's decline, but it's interesting to see strength in the real estate and utilities sectors, which are classic defensive sectors," says Andrew Smith, chief investment strategist for Dallas-based Delos Capital Advisors. "Some investors are betting on a robust tech rebound, while others are seeking safety.

"The real estate and utilities sectors also tend to perform well when investors expect interest rates to decline. Investors may be front-running the Fed's expected accommodative tone in Wednesday's meeting."

That's no wonder, given that many market experts (including Smith) predict volatility between here and the November elections.

Apple's Newest Products Fail to Excite

Also of note Tuesday was Apple (AAPL, +0.2%). The tech giant announced a number of new products and services, including new iPads, Apple Watches, a fitness service and "Apple One" bundles tying together several services for one price. However, Wall Street appears to be waiting for the main event.

Wedbush analyst Daniel Ives called Tuesday's reveal "the drumroll to the main event likely slated for the first week in October in which we expect Cook & Co. to officially unveil its linchpin iPhone 12 product cycle," which many expect will be Apple's first entry in the 5G foray.

While 5G communications technology is still in the early stages, it's among several other tech trends, such as cloud computing and artificial intelligence, that are positioned to blossom in the years ahead. But which stocks are right to capture this opportunity? We look at seven of the best 5G stocks, including chipmakers, consumer plays and even real estate.

Kyle Woodley was long FB as of this writing.

Most Popular

Where's My Stimulus Check? Use the IRS's "Get My Payment" Portal to Get an Answer
Coronavirus and Your Money

Where's My Stimulus Check? Use the IRS's "Get My Payment" Portal to Get an Answer

The IRS has an online tool that lets you track the status of your stimulus checks.
February 19, 2021
Want More Tax-Free Retirement Income? One Man’s Whole Life Decision
life insurance

Want More Tax-Free Retirement Income? One Man’s Whole Life Decision

Whole life insurance might not be something that’s on your retirement planning radar, but for this client, here’s how it served his need to control ta…
February 23, 2021
The Current Plan for $1,400 Checks
Coronavirus and Your Money

The Current Plan for $1,400 Checks

Here's what you need to know about the stimulus check plan currently being considered in Congress for President Biden's COVID-relief package.
February 18, 2021

Recommended

Stock Market Today 2/24/21: Dow Jones Cruises to Record Altitude
Stock Market Today

Stock Market Today 2/24/21: Dow Jones Cruises to Record Altitude

The Nasdaq spewed red ink to kick off Tuesday morning but recovered most of its ground, with Fed comments helping to soothe investor concerns.
February 24, 2021
All 30 Dow Jones Stocks Ranked: The Pros Weigh In
blue chip stocks

All 30 Dow Jones Stocks Ranked: The Pros Weigh In

The Dow Jones Industrial Average is made up of 30 blue chips that are tops in their industries. But some Dow Jones stocks are better opportunities tha…
February 24, 2021
Stock Market Today 2/23/21: Selloff? What Selloff? Morning Plunge Quickly Evaporates
Stock Market Today

Stock Market Today 2/23/21: Selloff? What Selloff? Morning Plunge Quickly Evaporates

The Nasdaq spewed red ink to kick off Tuesday morning but recovered most of its ground, with Fed comments helping to soothe investor concerns.
February 23, 2021
Stock Market Today 2/22/21: Stocks Tread Water, Bitcoin Joins the Trillion-Dollar Club
Stock Market Today

Stock Market Today 2/22/21: Stocks Tread Water, Bitcoin Joins the Trillion-Dollar Club

Nosebleed valuations in the technology sector cooled off Monday amid a brutal day for Nasdaq longs. The Dow, meanwhile, clawed out modest gains.
February 22, 2021