Trending Sectors | Tech Soars, Chips Surge, Energy Rises: Key Opportunities in US Stock Sectors Explored

【Major U.S. Stock Indices】

The U.S. stock market displayed mixed performance, with the S&P 500 index inching up 0.72% to close at 5886.55 points, reflecting a positive market reaction to economic data. The Dow Jones Industrial Average fell 0.64% to 42140.43 points, mainly impacted by declines in UnitedHealth and Merck stocks. The Nasdaq showed impressive gains, rising 1.61% to 19010.08 points, indicating strong momentum in tech stocks. Overall, enthusiasm for the tech sector remains high, while traditional economic sectors face some pressure.

【Performance of Leading Tech】

The major U.S. tech giants showed broad increases, with Microsoft up 2.40%, Apple gaining 6.18%, NVIDIA rising 5.44%, Amazon climbing 8.07%, Alphabet A increasing by 3.74%, Meta advancing 7.92%, and Tesla up 6.75%. Reports of Apple's entry into the brain-machine interface field, combined with plans to extend iPhone battery life through AI, seem to have boosted market confidence in Apple. Amazon's renewed partnership with FedEx and strategic agreement with Weatherford to accelerate digital transformation further drove stock price increases. Despite facing layoffs and cuts to revenue sharing from OpenAI's restructuring plan, Microsoft's options market showed active performance, indicating investor optimism for its future. Alphabet, while dealing with EU antitrust lawsuits, is actively promoting AI investments and search function innovations, with a favorable market reaction. Meta and Tesla's gains also benefited from the overall strong performance in tech stocks.

【AI and Chip Sector】

The AI sector continues to attract market favor, particularly with strong performances from chip-related stocks. NVIDIA soared by 5.44% and is collaborating with Amazon and Alphabet on AI projects. Chip manufacturers such as TSMC and Intel also recorded significant increases, rising 5.93% and 3.55%, respectively, reflecting ongoing positive market sentiment toward the chip industry. The U.S.-China tariff reduction agreement appears to provide additional support for the chip sector, while Qualcomm's strategic partnership with Saudi Aramco highlights market potential for edge AI technology.

【EV and Other Sector Movements】

In the electric vehicle sector, Tesla continued its upward trend, rising by 6.75%. Domestic newcomers like Li Auto, NIO, and XPeng also performed well, with gains of 6.57%, 5.79%, and 7.59%, respectively. The weight loss drug sector saw widespread declines, with Eli Lilly, Novo Nordisk, and AstraZeneca all recording losses, as the market reacted negatively to Trump's drug pricing executive order. Oil stocks saw broad gains, with ExxonMobil and Occidental Petroleum showing notable increases, reflecting optimistic market expectations for the energy sector. Gold stocks dropped sharply, primarily due to eased U.S.-China trade tensions leading to a shift away from safe-haven assets. Digital currency concept stocks showed mixed results, with Coinbase leading gains while MicroStrategy closed lower. Meme stocks broadly rose, with AMC Theatres and GameStop recording gains.

【Other Sector Highlights】

In the retail sector, Home Depot and Target delivered strong performances, rising by 3.83% and 4.85%, respectively, benefiting from reduced supply chain uncertainty due to U.S.-China tariff reductions. Banking stocks saw broad increases, with JPMorgan Chase, Bank of America, and Wells Fargo all recording substantial gains, indicating market confidence in the financial sector. Vaccine stocks like Pfizer and Moderna also rose, as the market continues to assess the impact of Trump's drug pricing executive order.

【Market Summary and Suggestions】

Overall, the U.S. stock market continues its strong momentum led by tech stocks, particularly those in AI and the chip sector, benefiting from the U.S.-China tariff agreement. Investors should focus on the long-term growth potential of tech stocks while monitoring macroeconomic data's impact on traditional sectors. Energy and financial sectors are performing well, and investors may consider moderate increases in these areas. Uncertainty in drug pricing policy may continue to affect related stocks, so caution is advised. The decline in gold stocks may reflect a change in market risk appetite, and investors should adjust according to their risk tolerance.