Trending Sectors | Tech Giants Lead Gains, Oil Stocks Rise, Retail Struggles Amid Mixed Sector Performances

【Major U.S. Stock Indices】

On February 20 (Thursday), U.S. Eastern Time, the three major U.S. stock indices collectively closed lower. The S&P 500 fell 0.43% to 6117.52 points; the Dow Jones Industrial Average dropped 1.01% to 44176.65 points; and the Nasdaq decreased by 0.47% to 19962.36 points. Overall, market sentiment was impacted by weak performance guidance from retail giant Walmart, leading to a significant decline in the retail sector that dragged down the overall market performance. Additionally, concerns about the global economic growth outlook intensified investors' risk-averse sentiment.

【Performance of Leading Tech】

Among the major tech giants, Microsoft increased slightly by 0.33%, Apple rose 0.39%, and Nvidia gained 0.63%. Notably, Nvidia benefited from strong demand for its latest GPU products, with its market cap reaching $3.43 trillion. However, Amazon and Meta fell by 1.65% and 1.27%, respectively, while Google A slipped by 0.38%. Apple's accelerated pace in hardware self-research and its meeting with Trump were interpreted by the market as positive signals for its future business. Additionally, Microsoft's release of a quantum computing chip attracted market attention and could have far-reaching impacts on the competitive landscape among tech giants.

【AI and Semiconductor Sector】

In the AI sector, Nvidia performed well, rising by 0.63%. However, other chip manufacturers had mixed performances, with SMCI falling 1.63% and Arm Holdings down 2.27%. In the chip equipment and materials field, Applied Materials rose by 1.12% and Lam Research by 1.55%. Notably, Microsoft's debut of a quantum computing chip boosted quantum computing concept stocks, with the market optimistic about the future applications of quantum computing technology. Both Goldman Sachs and Wedbush hold optimistic views on AI-driven stocks, expecting them to continue benefiting from the industry's rapid development.

【Electric Vehicle and New Energy Sector】

In the electric vehicle sector, Tesla fell 1.71%, with its market cap dropping to $1,139.34 billion. Domestic new forces like Li Auto, NIO, and XPeng fell across the board. Comparatively, traditional automakers performed more robustly, with Toyota and Ford rising by 0.33% and 0.48%, respectively. Zeekr's stock price dropped by 3.14% due to negative news about a safety incident. The new energy industry still faces many challenges, and investors should pay attention to companies' financial stability and technological innovation capabilities.

【Oil and Energy Sector】

Oil stocks generally rose, with ExxonMobil up 1.56% and Occidental Petroleum up 2.20%. The market's confidence in the energy sector was boosted by Trump's announcement of a strategic petroleum reserve replenishment plan and tax reduction policies. Additionally, market news indicated that ExxonMobil and SLB are exploring lithium mine investments in Chile, which could bring new growth opportunities for their future business.

【Cryptocurrency Concept Stocks】

The digital currency concept sector had a mixed performance, with Coinbase Global down 0.80%, while Microstrategy rose 1.65%. The market's acceptance of cryptocurrencies is gradually increasing, especially under the policy support for Bitcoin and cryptocurrencies from the Trump administration, which makes some investors optimistic about the future development of digital assets.

【Meme Stocks and Other Sectors of Interest】

Meme stocks like AMC Entertainment fell 2.24%, while GameStop rose 3.92%. In the retail sector, Walmart plummeted 6.52% due to weak performance guidance, dragging down other retailers like Costco and Target. Bank stocks also performed poorly, with JPMorgan Chase and Morgan Stanley falling 4.44% and 4.53%, respectively. In the vaccine sector, Moderna plunged 6.04% following a ratings downgrade.

【Investment Advice】

Given the current market uncertainty, investors should remain cautious and focus on macroeconomic data and changes in individual stock fundamentals. Tech stocks, particularly those in the AI and quantum computing sectors, still offer long-term investment value due to their potential for technological innovation. Meanwhile, investments in traditional energy and digital currency sectors should be mindful of the risks and opportunities arising from policy changes.