Nasdaq and S&P500 up for the fourth time in a row. The market is buying big tech

For the fourth consecutive session on Wall Street, the stock market bulls fell prey. As a result, the Nasdaq and S&P500 almost made up for the “Greenlandic losses” and again approached their historic highs. Investors again looked favorably at shares of large technology companies.

The S&P500 index ended Monday's session with an increase of 0.57%, reaching 6,950.53 points. And this is only 35 points below the historical maximum from two weeks ago. The Nasdaq has also almost fully recovered from the losses incurred during the “Greenland crisis”, when the threat of new tariffs on eight European countries provoked the strongest declines on Wall Street since October. That “correction” lasted two whole days.

Investors have already forgotten about all this and the stock market has returned to the stress-free mode that we have become accustomed to for most of the past few years. The market is positioning itself for the upcoming quarterly reports of large technology companies. Apple, Meta, Microsoft and Tesla are scheduled to present their fourth quarter results this week.

On Monday, most of the above-mentioned companies were gaining in value. Apple's shares gained 3%, Meta's 2.1% and Microsoft's almost 1%. And only Tesla's shares were depreciated by more than 3%. Elon Musk's company, next to AMD (-3.25%) and Intel (-5.7%), was the largest “red spot” on Monday's green market map.

– Today we see good trading in technology and communication companies as we wait for the quarterly results of the largest companies. It appears that we will have an expansion of corporate profits in a growing economy. So, generally speaking, investors are cautiously optimistic and are looking forward to the earnings season – this is how Chris Zaccarelli, general manager at Northlight Asset Management, commented on Monday's session.

A scratch on this optimistic story was the depressing performance of Intel, which lost over 5% today after falling by over 14% on Friday. This is a reaction not so much to very good quarterly results, but to disappointing financial forecasts for the current quarter. However, we must take into account the fact that Intel's shares have tripled in price over the past few months.

But still, precious metals attracted the most attention on Wall Street. Gold prices in dollars exceeded the ceiling of USD 5,000/oz for the first time in history. However, silver played in a completely different league, the price of which increased by over 16% at the peak of the day, reaching an all-time nominal record of USD 117.69/oz. But by 10 p.m., the white metal had fallen to $108.27/oz, down as much as 8% from its all-time high (but still up almost 7% from Friday's reference price).

K.K

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