Strong gains in tech heavyweights lifted the Nasdaq to a record
intra-day high on Tuesday, while declines in financial and energy stocks
weighed on the S&P 500 and Dow.
The so-called FAANG stocks —
Facebook, Amazon, Apple, Netflix and Alphabet — rose between 0.5 percent
and 1.7 percent, helping the S&P technology index rise 0.5 percent.
However, investors were still wary about trade discussions and equity index futures pared gains earlier after White House economic adviser Larry Kudlow said President Donald Trump may seek separate talks with Canada and Mexico in a bid to get individual trade deals with the two countries.
“The market is a little bit on edge when it comes to trade talks,” said Robert Pavlik, chief investment strategist and senior portfolio manager at SlateStone Wealth LLC in New York.
A relentless rally in stocks last year, that sent the main U.S. indexes to record highs almost every other week, came to a halt in late January on issues ranging from rising interest rates, trade concerns to geopolitical issues.
However, strength in the U.S. economy, as shown by the latest jobs report, helped investors shift their focus back to fundamentals.
S&P financials were the biggest percentage decliners with Bank of America, JPMorgan and Goldman Sachs falling more than 0.5 percent.
Twitter gained 5.1 percent on the social network’s inclusion in the benchmark S&P 500 index. Netflix, which is set to join the S&P 100, rose 1.7 percent.
Advancing issues outnumbered decliners for a 1.40-to-1 ratio on the NYSE and for a 2.07-to-1 ratio on the Nasdaq.
The S&P index recorded 38 new 52-week highs and seven new lows, while the Nasdaq recorded 159 new highs and 16 new lows.
However, investors were still wary about trade discussions and equity index futures pared gains earlier after White House economic adviser Larry Kudlow said President Donald Trump may seek separate talks with Canada and Mexico in a bid to get individual trade deals with the two countries.
“The market is a little bit on edge when it comes to trade talks,” said Robert Pavlik, chief investment strategist and senior portfolio manager at SlateStone Wealth LLC in New York.
A relentless rally in stocks last year, that sent the main U.S. indexes to record highs almost every other week, came to a halt in late January on issues ranging from rising interest rates, trade concerns to geopolitical issues.
However, strength in the U.S. economy, as shown by the latest jobs report, helped investors shift their focus back to fundamentals.
S&P financials were the biggest percentage decliners with Bank of America, JPMorgan and Goldman Sachs falling more than 0.5 percent.
Twitter gained 5.1 percent on the social network’s inclusion in the benchmark S&P 500 index. Netflix, which is set to join the S&P 100, rose 1.7 percent.
Advancing issues outnumbered decliners for a 1.40-to-1 ratio on the NYSE and for a 2.07-to-1 ratio on the Nasdaq.
The S&P index recorded 38 new 52-week highs and seven new lows, while the Nasdaq recorded 159 new highs and 16 new lows.
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