Trending Sectors | Tech Rebounds Amid Mixed Sector Performances: Opportunities in AI, EVs, and Weight Loss Drugs

【Major U.S. Stock Indices】

On October 8 Eastern Time, the S&P 500 Index rose by 0.58%, closing at 6753.72 points; the Dow Jones Industrial Average remained flat, closing at 46601.78 points; the Nasdaq Index increased by 1.12%, closing at 23043.38 points. The rise in the S&P 500 and Nasdaq indicates a strong rebound in tech stocks, while the flat performance of the Dow Jones reflects investors' cautious approach towards traditional industries.

【Performance of Leading Tech】

Most of the top seven U.S. tech giants declined. Microsoft fell by 0.87%, Apple dipped slightly by 0.08%, NVIDIA decreased by 0.27%, Google A saw a significant drop of 1.86%, Meta was slightly down by 0.36%, and Tesla plummeted by 4.45%. Only Amazon bucked the trend with a rise of 0.40%. Concerns about Tesla may be linked to recent adjustments in its production and delivery targets, while Google's decline could be due to increased uncertainties in the advertising market.

【AI and Chip Sector】

The AI sector showed mixed performances; NVIDIA saw a slight decline of 0.27%, marking its third consecutive day of losses, with a market valuation of $4.60 trillion. SMCI and Arm Holdings rose by 0.82% and 2.00%, respectively, while Micron Technology fell significantly by 2.76%. In the chip manufacturing sector, TSMC dropped by 2.77%, whereas Intel rose by 1.59%. Among chip equipment and materials companies, ASML, Applied Materials, and Lam Research saw major declines of 3.93%, 5.52%, and 5.90%, respectively. In the chip design field, Broadcom had a slight increase of 0.27%, while Synopsys and Texas Instruments fell by 0.08% and 2.62%, respectively.

【Electric Vehicle Sector】

In the electric vehicle sector, Tesla plummeted by 4.45%, with its market cap dropping to $1.4587 trillion. Domestic new forces performed poorly, with Li Auto down by 2.41%, Nio down by 1.19%, and XPeng slightly up by 0.17%. Traditional automakers also performed poorly, with Ford Motor falling sharply by 6.14%. Tesla's decline may be related to market skepticism about its future profitability.

【Weight Loss Drug Stocks】

In the weight loss drug sector, Eli Lilly saw a slight increase of 0.28%, Novo Nordisk rose by 1.01%, while AstraZeneca and Amgen fell by 0.57% and 0.31%, respectively. Viking Therapeutics stood out with a 2.65% increase. The performance in this sector indicates continued market optimism about the long-term potential of weight loss drugs.

【Oil and Cryptocurrency Sector】

Oil stocks showed mixed performances, with ExxonMobil slightly up by 0.05%, Chevron rising by 0.58%, and Occidental Petroleum slightly down by 0.15%. Digital currency stocks generally declined, with Coinbase Global down by 2.67% and Strategy dropping by 8.70%. This trend reflects market uncertainty regarding the future regulation of cryptocurrencies.

【Meme Stocks and Gold Sector】

Meme stocks saw significant declines, with AMC Theatres down by 2.07% and GameStop falling by 2.79%. Gold stocks showed mixed performances, with the Gold ETF up by 0.52%, while Barrick Gold and Newmont fell by 2.78% and 1.76%, respectively. This indicates increasing investor demand for safe-haven assets.

【Other Sector Performances】

In the retail sector, Walmart and Costco rose by 0.53% and 0.42%, respectively, while Home Depot and Dollar General fell by 0.65% and 1.79%, respectively. Bank stocks showed divergence, with Wells Fargo up by 0.56%, while JPMorgan Chase and Bank of America fell by 0.48% and 0.20%, respectively. In the vaccine sector, BioNTech and Novavax rose by 0.86% and 1.54%, respectively. Overall, the market shows a strong interest in tech and growth stocks, whereas confidence in traditional industries remains somewhat lacking. Investors are advised to focus on the potential of the tech sector while cautiously evaluating investment opportunities in traditional industries.