S&P 500 surges 1.76% as tech and consumer goods sectors lead market rally, while utilities lag

March 24, 2025 (Monday), the S&P 500 Index rose by 1.76%, the Dow Jones Industrial Average increased by 1.42%, and the Nasdaq Composite Index surged by 2.27%. Atlanta Fed President Raphael Bostic suggested that inflation may not return to the 2% target until early 2027, indicating only one rate cut this year instead of two. Meanwhile, the US March S&P Global Services PMI rose to 54.3, exceeding expectations and previous figures, signaling strong growth in the service sector.

Based on the day's market performance, the technology sector, non-essential consumer goods sector, and industrial sector outperformed the S&P 500. Notably, the non-essential consumer goods sector showed exceptional performance. Conversely, the utilities sector moved in the opposite direction of the S&P 500.

Nvidia shares rose 3.15% as the company's AI advancements continue to boost demand for their products. Palantir Technologies Inc. saw a 6.37% increase, driven by significant growth in both government and commercial sectors through its AI Platform. Eli Lilly and Company rose 3.26%, with breakthrough GLP-1 therapies driving exceptional growth in revenue and market share. The Home Depot Inc. shares climbed 3.59% after Vanguard Group Inc. increased its holdings, indicating confidence in the company's future performance. Morgan Stanley shares rose 3.44%, with analysts expressing confidence in ZTO's performance despite market challenges. Meta Platforms Inc. shares climbed 3.79% following AI expansion talks with Reliance Industries, enhancing its AI capabilities. Tesla Inc. shares surged over 11%, as the company expands production with a new factory opening, boosting long-term growth potential. Amazon.com Inc. shares rose 3.59%, potentially due to news of fewer tariffs, reducing supply chain disruptions.

MicroAlgo's stock surged over 455%, driven by a strategic partnership with a major tech company aimed at enhancing AI capabilities. Integrated Media Technology saw its shares rise nearly 289%, gaining traction as a key player in smart optics and metaverse technologies. Wang & Lee Group's stock plummeted over 85%, following the pricing of a $12.0 million offering at $3.40 per share. 23andMe's stock dropped nearly 59%, as the company filed for bankruptcy protection and its CEO's exit led to a significant stock plunge.

The Federal Reserve's Bostic stated a preference for maintaining the current level of Quantitative Tightening (QT) for a while before stopping, noting that the current federal funds rate seems well calibrated. This aligns with the recent US S&P Composite PMI Flash data, which showed an actual figure of 53.5, surpassing both the forecast of 51.3 and the previous 51.6, indicating stronger-than-expected economic activity. Additionally, American Electric Power announced a $2 billion share offering, which could impact its stock price and influence market dynamics. Meanwhile, concerns about tariffs persist as Trump mentioned potential additional tariffs on Venezuela, which could affect market sentiment and trade relations.