Trending Sectors | Tech Giants, Gold Shine Amid Weak Chip and Banking Stocks; Retail Rebounds, Crypto Falters

【Major U.S. Stock Indices】

On March 28th, Eastern Time, all three major U.S. stock indices experienced significant declines. The S&P 500 fell 1.97% to 5580.94 points; the Dow Jones Industrial Average dropped 1.69% to 41583.90 points; and the Nasdaq Composite saw the largest decline at 2.70%, closing at 17322.99 points. Overall, market sentiment leaned towards caution, particularly impacted by the poor performance of large tech and internet stocks. Investors are advised to closely watch macroeconomic data and international trade developments, especially the potential impact of Trump's tariff policies.

【Performance of Leading Tech】

Among the top seven tech giants, Microsoft saw a slight rise of 0.16%, Apple increased by 1.05%, Amazon rose 0.11%, and Tesla gained 0.39%. Meanwhile, Google dropped 1.71%, Meta fell 1.37%, and NVIDIA experienced the largest decline at 2.05%. Options trading surged for Microsoft and Amazon, indicating high market interest in their future movements. NVIDIA's stock dip may be related to the poor initial performance of AI-backed CoreWeave's IPO, raising analyst concerns about sustainable growth. Meta's comprehensive optimization strategy released with Ovative Group failed to boost its stock, while Tesla benefited from sales expectations of the redesigned Model Y.

【AI and Chip Sector】

Within the AI sector, NVIDIA led the decline among related stocks with a market cap reaching $2.68 trillion. The disappointing debut of CoreWeave, supported by NVIDIA, led analysts to question future growth. The chip sector generally weakened, with declines for companies like TSMC, ASML, and Applied Materials. Intel's slight stock rise may be attributed to board restructuring and a deal with SK Hynix. Qualcomm's announcement of developing generative AI terminals with Chinese partners did not prevent a slight drop in its stock price.

【Electric Vehicles and Weight Loss Drugs】

In the electric vehicle sector, Tesla rose 0.39%, showing market stability, while domestic newcomers like Li Auto, NIO, and XPeng performed poorly. As for weight loss drug stocks, Novo Nordisk and Biogen fell, while Eli Lilly remained flat, possibly affected by dissatisfaction from European drug regulators regarding its Alzheimer's medication.

【Oil and Gold Sector】

Oil stocks broadly declined, with ExxonMobil, Occidental Petroleum, and Chevron all performing poorly, potentially due to supply constraints and trade war uncertainties. Contrarily, gold stocks generally rose, driven by safe-haven demand for companies like Barrick Gold and Newmont. A Bank of America report noted that geopolitical risks and policy uncertainties will continue to support gold prices.

【Cryptocurrency and Meme Stocks】

Cryptocurrency-related stocks continued to decline, with significant drops for Coinbase Global, Microstrategy, and Riot Platforms, indicating reduced market risk appetite. Meme stocks like AMC Entertainment and GameStop also saw sharp declines, particularly GameStop's 22.11% drop, which may be related to the company pricing $1.3 billion in convertible senior notes.

【Retail and Banking Sector】

Retail stocks generally rose, with positive performances from Walmart, Costco, and Home Depot, indicating a recovery in consumer spending. Banking stocks broadly fell, impacted by the overall market downturn, with notable declines for JPMorgan Chase, Bank of America, and Wells Fargo. Morgan Stanley and Goldman Sachs experienced larger drops due to concerns about the financial environment.

【Vaccine Stocks Performance】

Vaccine stocks showed divergence, with Moderna rising 2.03%, reflecting continued market confidence in its mRNA vaccines, while Pfizer and BioNTech performed slightly weaker. The Trump administration's plan to cut pressure on bio-vaccine aid organization Gavi may affect overall industry expectations.

【Market Suggestions】

Investors should monitor changes in macroeconomic data and international trade policies to adjust their portfolios. For tech and chip sectors, it's crucial to track technological innovation and market demand dynamics. Gold and retail sectors exhibit strong potential for safe-haven and consumer spending. Caution is advised for banking and cryptocurrency sectors, paying close attention to regulatory policies and shifts in market sentiment.