Trending Sectors | AI & Chips Shine, Oil Gains; EV Faces Pressure Amid Election Uncertainty

【Major U.S. Stock Indices】

On Monday, U.S. stock markets faced pressure with all three major indices experiencing declines. The S&P 500 fell by 0.41%, closing at 5728.80 points; the Dow Jones Industrial Average dropped by 0.69%, closing at 42052.19 points; and the Nasdaq Composite decreased by 0.80%, closing at 18239.92 points. The market remains highly focused on the uncertainties surrounding the upcoming U.S. election results and economic outlook, leading to cautious investor sentiment. Despite this, tech stocks provided some support to the market.

【Performance of Leading Tech】

The seven tech giants in the U.S. stock market mostly declined, with companies like Apple, Google, Meta, and Tesla all trending lower. Microsoft and Apple fell by 0.47% and 0.35%, respectively, while Nvidia bucked the trend with a 0.55% increase. Amazon dropped by 1.08%, and Google A and Meta decreased by 1.19% and 1.14%, respectively. Tesla had the largest decline, falling by 2.47%. Notably, Nvidia recently replaced Intel in the Dow Jones Index and regained its position as the world's highest-valued company, which boosted its stock performance, while the market remains cautious about the future growth of other tech giants.

【AI and Chip Sectors】

Nvidia continued its strong performance in the AI sector, rising by 0.55% and reaching a market value of $3.34 trillion, becoming a market focal point. Additionally, Micron Technology performed well, increasing by 2.02%. However, SMCI and Arm Holdings fell by 0.17% and 2.81%, respectively. In the chip manufacturing sector, Intel tumbled by 2.93%, while TSMC and ASML fell by 0.72% and 0.53%, respectively. Nvidia's recent surge in demand for SK Hynix's HBM4 chips and its inclusion in the Dow Jones Index in place of Intel were key market highlights.

【EV and Oil Sectors】

In the EV sector, Tesla declined for the sixth consecutive day, dropping by 2.47%, with its market value falling to $779.531 billion. Among domestic newcomers, XPeng Motors performed remarkably, rising by 4.77%, while Li Auto and NIO fell by 1.60% and rose by 0.78%, respectively. On the other hand, oil stocks generally rose, with ExxonMobil up by 3.18% and Occidental Petroleum up by 2.00%. News of OPEC+ extending production cuts boosted the performance of oil stocks.

【Cryptocurrency and Meme Stocks】

Cryptocurrency-related stocks showed mixed performance, with Coinbase Global up by 1.85%, while Riot Platforms and MARA Holdings fell by 4.87% and 3.94%, respectively. Meme stocks generally declined, with AMC Entertainment and GameStop down by 3.55% and 0.36%, respectively. The market remains wary of cryptocurrency volatility, especially as the election approaches.

【Other Notable Sectors】

Vaccine stocks generally declined, with Pfizer, Moderna, and BioNTech dropping by 1.17%, 2.00%, and 2.41%, respectively. Bank stocks also trended downward, with JPMorgan Chase and Bank of America both falling by more than 1%. Retail stocks were mixed, with Walmart and Costco rising by 0.32% and 1.03%, respectively. Investors should remain attentive to the future performance of these sectors, particularly amid increasing uncertainties surrounding the election and economic policies. In summary, the market is displaying significant uncertainty ahead of the election, and investors should remain vigilant about market volatility while monitoring the impact of policy changes on various sectors. Companies in the tech and energy sectors, particularly those with clear growth catalysts, may still be considered as long-term investment targets.