Breaking News
Ad-Free Version. Upgrade your experience. Save up to 40% More details

US STOCKS-Dow ends at record high, Nasdaq falls as tech slides

Stock MarketsMay 06, 2021 05:50
Saved. See Saved Items.
This article has already been saved in your Saved Items
© Reuters.

* Dow up 0.29%, S&P 500 up 0.07%, Nasdaq down 0.37%
* Energy, materials lead sectoral gains on S&P 500
* Peleton plunges on treadmill recall after injuries, death
* U.S. private payrolls increase solidly in April - ADP

(Updates after market close)
By Krystal Hu and Shreyashi Sanyal
May 5 (Reuters) - The Dow Jones Industrial Average ended at
a record high on Wednesday, driven higher by energy and other
economically sensitive sectors, while the Nasdaq closed in red
as megacap growth stocks slipped.
Strong gains by Goldman Sachs GS.N , Caterpillar CAT.N
and Chevron CVX.N sent Dow to the record. Energy .SPNY and
materials .SPLRCM continued this week's momentum, leading
gains among S&P 500 sectors. Defensive utilities .SPLRCU and
real estate .SPLRCR led sectoral declines.
"Energy, financial, materials, industrials are all
outperforming. They tend to be cyclically oriented sectors and
tend to benefit during periods when the economies are reopening
and expanding," said Terry Sandven, chief equity strategist at
U.S. Bank Wealth Management.
Strong economic data and earnings pushed the S&P 500 and
Nasdaq indexes to record high last week, but markets have
wobbled amid concerns about rising inflation and potentially
higher U.S. interest rates.
"Once you have markets hitting the highs we have seen
recently, the one thing investors are worried about is rising
inflation and what that means for profitability of companies,"
said Shawn Cruz, senior market strategist at TD Ameritrade.
The Dow .DJI closed at 34,230.34, up by 0.29%, while the
S&P 500 .SPX gained 2.93 points, or 0.07%, to 4,167.59.
The Nasdaq Composite .IXIC gave up its earlier gains and
ended 51.08 points, or 0.37%, lower at 13,582.43.
Megacap technology companies including Inc
AMZN.O and Facebook Inc FB.O and Alphabet Inc GOOGL.O were
down over 1%. The Philadelphia SE Semiconductor index .SOX
recovered from a sell-off on Tuesday by rising 0.61%.
Investors sold off tech on Tuesday after Treasury Secretary
Janet Yellen suggested that interest rates might need to rise in
an overheating economy.
She later clarified that a near-term interest rate hike was
not something she was "predicting or recommending" on Tuesday
The ADP National Employment Report showed U.S. private
payrolls increased in April as companies rushed to boost
production amid a surge in demand, powered by massive government
aid and rising vaccinations against COVID-19. A more comprehensive reading in the form of the Labor
Department's non-farm payrolls data is due on Friday.
The largest percentage gainer on the S&P 500 was Caesars
Entertainment Inc CZR.O , which rose 7.8% after the casino
operator said it expected to benefit from the economy reopening.
On the Nasdaq 100, the largest gainer was T-Mobile US Inc
TMUS.O , which rose 4.4% after it raised full-year postpaid
subscriber net additions forecast.
Peloton Interactive Inc PTON.O plunged by 14.6%, hitting
an eight-month low on its announcement to recall its treadmills
amid reports of multiple injuries and the death of a child in an
accident. Uber Technologies Inc's UBER.N shares fell over 4% during
afterhours trading after reporting a narrower first quarter loss
amid strong growth in its food-delivery business, while
ride-hailing bookings were flat. Volume on U.S. exchanges was 8.35 billion shares, compared
with the 9.94 billion average for the full session over the last
20 trading days.

US STOCKS-Dow ends at record high, Nasdaq falls as tech slides

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
Sign up with Email