On the 24th (local time), the New York Stock Exchange closed at a record high. The Nasdaq index, which focuses on technology stocks, and the S&P 500 index, which best reflects market conditions, reached all-time highs.
On the other hand, the Dow Jones Industrial Average, which focuses on blue-chip stocks, rose only 0.09 percent.
The Nasdaq closed at 15,019.80 points, up 77.15 points (0.52%) from the previous day, continuing its two-day all-time high.
On the back of rising technology stocks, the S&P 500 increased 6.70 points (0.15%) to 4486.23.
Energy, industrials, and materials trended higher, but five sectors fell, including real estate and utilities. The technology sector also declined by 0.13%.
On the day before, Chinese technology stocks rose strongly on the Hong Kong Stock Exchange, which served as a springboard for the Nasdaq Index’s rise.
China’s tech stocks, which have fallen in the past, increased amid speculation that the regulator’s outlook has improved.
As a result of the upward trend in Hong Kong, the New York Stock Exchange also fell.
Nasdaq-listed Pintuitour rose 22 percent, and JD.com rose more than 14 percent.
Tencent Music Entertainment rose 13 percent, while Baidu rose nearly 9 percent.
Harry Financial Group partner Jamie Cox said the low price of Chinese technology stocks boosted the index.
He discouraged, however, chasing stocks. “There are still investors concerned about the possibility of new restrictions from Chinese authorities”, he said.
The Securities and Exchange Commission (SEC) announced this afternoon that it is considering requiring Chinese companies listed on the U.S. stock market to disclose political and regulatory risks to investors. The annual report will also include the risk starting next year.
As early as next year, the uncertainty of U.S. investors’ investments in Chinese companies is likely to diminish.
While Chinese technology stocks surged the day before, vaccine-related stocks fell on the day the U.S. Pfizer’s new vaccine against Coronavirus infections (COVID-19) has been approved by the Food and Drug Administration (FDA).
Shares of Pfizer and Biontech, which co-developed the vaccine with Pfizer, each fell 3 percent, while shares of Moderna fell 4 percent.
On the same day, Trillium Therapeutics, which had jumped 180% following the announcement that it would be acquired by Pfizer the day before, fell 0.6%.
Nevertheless, for the past two days, the tourism industry has trended higher.
Stocks of airlines and cruise ships rose 3 to 4 percent.
“The market seems to believe that Covid-19 spreads have peaked,” said Harry Financial’s Cox.
The stock market is paying attention to the Jackson Hole meeting, the Federal Reserve’s summer vacation program, which will take place in Jackson Hole, Wyoming, from the 26th to the 27th.