Stock Market Today: Tech Stocks Soar as Bargain Hunters Swoop In
The Nasdaq outperformed today as mega-cap stocks Nvidia (NVDA) and Tesla (TSLA) popped.
You are now subscribed
Your newsletter sign-up was successful
Want to add more newsletters?
Delivered daily
Kiplinger Today
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more delivered daily. Smart money moves start here.
Sent five days a week
Kiplinger A Step Ahead
Get practical help to make better financial decisions in your everyday life, from spending to savings on top deals.
Delivered daily
Kiplinger Closing Bell
Get today's biggest financial and investing headlines delivered to your inbox every day the U.S. stock market is open.
Sent twice a week
Kiplinger Adviser Intel
Financial pros across the country share best practices and fresh tactics to preserve and grow your wealth.
Delivered weekly
Kiplinger Tax Tips
Trim your federal and state tax bills with practical tax-planning and tax-cutting strategies.
Sent twice a week
Kiplinger Retirement Tips
Your twice-a-week guide to planning and enjoying a financially secure and richly rewarding retirement
Sent bimonthly.
Kiplinger Adviser Angle
Insights for advisers, wealth managers and other financial professionals.
Sent twice a week
Kiplinger Investing Weekly
Your twice-a-week roundup of promising stocks, funds, companies and industries you should consider, ones you should avoid, and why.
Sent weekly for six weeks
Kiplinger Invest for Retirement
Your step-by-step six-part series on how to invest for retirement, from devising a successful strategy to exactly which investments to choose.
The major indexes suffered notable losses last week, with the technology sector bearing the brunt of the selling.
However, bulls were given a reprieve Monday, with tech stocks soaring as bargain hunters looked past spiking Treasury yields to scoop up some of Wall Street's favorite names at a discount.
All three main benchmarks finished last week with losses of more than 2% as Treasury yields jumped on growing expectations the Federal Reserve may not be done raising interest rates. Today, however, the rate-sensitive Nasdaq Composite climbed 1.6% to 13,497 and the S&P 500 added 0.7% to 4,399, even as the 10-year Treasury yield hit its highest level since 2007.
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Helping boost the Nasdaq and S&P 500 were big returns for several mega-cap stocks. Nvidia (NVDA), for one, rose 8.5% ahead of the chipmaker's appearance on the earnings calendar this Wednesday evening. Other big movers included Facebook parent Meta Platforms (META, +2.4%) and electric vehicle stock Tesla (TSLA, +7.3%).
Palo Alto spikes after unusually timed earnings report
But it was Palo Alto Networks (PANW) that was one of Monday's most notable gainers. The cybersecurity stock surged 14.8% after the company disclosed its quarterly earnings after Friday's close – an unusual time slot for a firm to report its financial results. PANW unveiled higher-than-expected fiscal fourth-quarter earnings and revenue, while giving solid guidance.
Palo Alto also said there has been strong demand for XSIAM, its artificial intelligence (AI) security operations platform, particularly after a July ruling from the Securities and Exchange (SEC) commission that cyberattacks must be reported within four days after they are deemed "material" by a company.
"This is a big week for tech stocks and optimism is brewing that Nvidia will deliver some good results later this week," says Edward Moya, senior market strategist at currency data provider OANDA. "Also providing a boost was Palo Alto’s results that we got after the Friday close." The key for tech stocks going forward is to show how they can make money off of AI, Moya adds.
J&J weighs on Dow
The Dow Jones Industrial Average wasn't as resilient as the other two indexes, shedding 0.1% to 34,463 on weakness in Johnson & Johnson (JNJ). The blue chip stock tumbled 3.0% after the company said a $35 billion exchange offer for its Kenvue (KVUE, +0.1%) spinoff was too popular, and those that participated will only be able to convert a portion of their JNJ shares for KVUE stock.
Looking ahead, all eyes will be on this week's annual Federal Reserve gathering in Jackson Hole, Wyoming, which is slated to kick off Thursday.
"This year's Jackson Hole symposium occurs near a pivotal juncture for the Fed," says Matthew Luzzetti, senior economist at Deutsche Bank. "Whether it takes an additional rate hike or two, monetary policy is nearing the sufficiently restrictive policy stance the Fed has long sought after eleven rate increases." Still, Luzzetti doesn't expect Fed Chair Jerome Powell to send any strong signals about the central bank's near-term policy plans as his "data dependence message" from the July Fed meeting "was clear."
Related Content
-
Dow Adds 1,206 Points to Top 50,000: Stock Market TodayThe S&P 500 and Nasdaq also had strong finishes to a volatile week, with beaten-down tech stocks outperforming.
-
Ask the Tax Editor: Federal Income Tax DeductionsAsk the Editor In this week's Ask the Editor Q&A, Joy Taylor answers questions on federal income tax deductions
-
States With No-Fault Car Insurance Laws (and How No-Fault Car Insurance Works)A breakdown of the confusing rules around no-fault car insurance in every state where it exists.
-
If You'd Put $1,000 Into AMD Stock 20 Years Ago, Here's What You'd Have TodayAdvanced Micro Devices stock is soaring thanks to AI, but as a buy-and-hold bet, it's been a market laggard.
-
If You'd Put $1,000 Into UPS Stock 20 Years Ago, Here's What You'd Have TodayUnited Parcel Service stock has been a massive long-term laggard.
-
How the Stock Market Performed in the First Year of Trump's Second TermSix months after President Donald Trump's inauguration, take a look at how the stock market has performed.
-
If You'd Put $1,000 Into Lowe's Stock 20 Years Ago, Here's What You'd Have TodayLowe's stock has delivered disappointing returns recently, but it's been a great holding for truly patient investors.
-
If You'd Put $1,000 Into 3M Stock 20 Years Ago, Here's What You'd Have TodayMMM stock has been a pit of despair for truly long-term shareholders.
-
If You'd Put $1,000 Into Coca-Cola Stock 20 Years Ago, Here's What You'd Have TodayEven with its reliable dividend growth and generous stock buybacks, Coca-Cola has underperformed the broad market in the long term.
-
If You Put $1,000 into Qualcomm Stock 20 Years Ago, Here's What You Would Have TodayQualcomm stock has been a big disappointment for truly long-term investors.
-
If You'd Put $1,000 Into Home Depot Stock 20 Years Ago, Here's What You'd Have TodayHome Depot stock has been a buy-and-hold banger for truly long-term investors.
