Trending Sectors | Tech and EV Surge, Oil and Banks Dip, Digital Currency and Gold Stocks Climb

【Major U.S. Stock Indices】

On September 9th (Monday), the major U.S. stock indices all rose by more than 1%. The S&P 500 increased by 1.16% to 5,471.05 points, the Dow Jones rose by 1.20% to 40,829.59 points, and the NASDAQ increased by 1.16% to 16,884.60 points. Market sentiment appeared to improve, driven primarily by the strong performance of certain tech stocks, especially in the AI and chip sectors.

【Performance of Leading Tech】

Microsoft up 2.09%, Apple down 0.36%, NVIDIA up 1.53%, Amazon up 2.37%, Alphabet A down 0.03%, Meta unchanged, Tesla up 4.58%. Microsoft's gains may be related to its presentation at the Goldman Sachs Communications + Technology Conference and the news of its executives planning stock sales. Despite the release of the iPhone 16 series, Apple's market reaction was muted, with some investors waiting for a larger upgrade cycle. Amazon was boosted by being recommended by UBS as a top stock for 2024 and its cloud partnership with Oracle. Alphabet showed little movement ahead of its antitrust case. Meta remained stable under positive leadership reviews, while Tesla surged due to increased insurance registrations in China and favorable views from Deutsche Bank.

【AI and Chip Sector Performance】

NVIDIA, a leader in GPUs, rose by 1.53%, continuing its two-day rally with a market value reaching $2.65 trillion. Investors eagerly anticipate CEO Jensen Huang's upcoming speech on the progress of the Blackwell chip. Related stocks saw SMCI up 0.70%, Arm Holdings up 1.34%, and Micron Technology up 0.67%. Within chip manufacturing, TSMC fell by 0.22% and Intel dropped 0.47%. Chip equipment and materials showed mixed results, with ASML up 0.21%, Applied Materials up 0.28%, and Lam Research down 0.37%. Broadcom stood out in chip design, climbing 5.25%, likely due to its significant role in the iPhone 16.

【Electric Vehicle Sector Performance】

Tesla rose by 4.58%, benefiting from growth potential in the Chinese market and positive views from Deutsche Bank. Among emerging domestic EV players, Li Auto increased by 3.87%, NIO fell by 1.62%, XPeng rose by 2.70%, and Zeekr gained 2.58%. Traditional automakers lagged, with Toyota down 1.08%, General Motors down 5.44%, and Ford down 3.19%. The market holds higher growth expectations for new EV companies, while traditional automakers face significant challenges.

【Oil Stocks Decline】

ExxonMobil fell by 3.64%, Occidental Petroleum dropped 1.51%, and Chevron decreased 1.48%. OPEC's reduction in demand forecasts led to an oil price pullback, exerting pressure on oil stocks. Additionally, ExxonMobil's announcement of production cuts due to an approaching storm negatively impacted its stock price.

【Digital Currency Stocks Rise】

Coinbase Global rose 2.20%, Microstrategy increased 3.86%, Riot Platforms surged 6.31%, and MARA Holdings soared 9.03%. Bitcoin prices neared the $58,000 level, with the strong rebound in the cryptocurrency market driving these related stocks higher.

【Meme Stocks Decline】

AMC Entertainment fell by 1.20%, and GameStop dropped 3.30%. Investment enthusiasm for these stocks cooled, likely reflecting recent market volatility and adjustments in investor risk preferences.

【Gold Stocks Rise】

LBMA Gold Price PM increased 0.44%, Barrick Gold rose 1.66%, Newmont gained 1.14%, and Franco-Nevada climbed 0.90%. Rising global economic uncertainty boosted demand for safe-haven assets like gold, driving related stocks higher.

【Retail Stocks Mixed】

Walmart rose 1.90%, Costco fell 0.25%, Home Depot increased 1.46%, Target dropped 1.71%, Dollar General fell 0.36%, and Dollar Tree fell 3.01%. Walmart's strong performance may be linked to its hot toy list release and positive holiday sales expectations. In contrast, Costco and Target struggled due to intense market competition.

【Bank Stocks Decline】

JPMorgan Chase fell 5.19%, Bank of America dropped 0.48%, Wells Fargo decreased 1.17%, Morgan Stanley fell 1.59%, Goldman Sachs dropped 4.39%, and Citigroup fell 2.67%. The financial sector faced broad pressure, with some banks experiencing sell-offs due to weak Q3 earnings expectations.

【Vaccine Stocks Mixed】

Pfizer rose 1.12%, Moderna surged 3.49%, BioNTech gained 0.10%, and Novavax fell 0.63%. Moderna's significant rise may be linked to its new collaboration in autoimmune targets, while Novavax fell due to market skepticism regarding its COVID-19 vaccine.

【Other Sector Performances】

Notably, weight loss drug stocks showed mixed performance, with leading companies like Eli Lilly and Novo Nordisk experiencing volatility. Real Estate Investment Trusts (REITs) and utility stocks remained stable, possibly attracting safe-haven funds.

【Market Summary and Investment Recommendations】

Overall, the U.S. stock market rebounded significantly, led by tech stocks, particularly in the AI and chip sectors. However, traditional energy and banking industries face substantial downward pressure. Investors should remain flexible in the current market, focus on investment opportunities from technological innovation, and cautiously address risks from macroeconomic uncertainties. It is advisable to allocate some investments to safe-haven assets like gold and closely monitor corporate earnings reports and macroeconomic data for timely adjustments to investment strategies.