At the beginning of the week, Wall Street experienced a split as losses were covered by a gradual increase in healthcare and technology stocks. The Standard & Poor’s 500 Index rose by just 0.52 points. Settling at 2.930.32 and coming back from Monday morning’s loss of 0.9 percent. The industrial average of Dow Jones decreased by 109.33 points, ending at 24.221.99 and the composite of Nasdaq rose by 71.02, ending at 9.192.34.
It has been apparent that investors have been drawn to technology stocks as they remain robust given the harm done to the global economy by the COVID-19 pandemic so far.
Investors tend to search for firms that can stay competitive in both the ‘isolation’ market and the regular market.
Apple’s shares decreased by 1.6 percent, while Nvidia rose by 3.2 percent, and Advanced Micro Devices increased by 4.8 percent. Making it one of the biggest increases in the S&P 500 on Monday.
Healthcare securities are still performing well steadily and have reduced their declines to 1% this year. Biotech stocks did especially good on Monday, and Cardinal Health had the biggest gain in S&P 500 by 6.7% thanks to the latest rise in prescription medicine sales.
The advances in technologies and healthcare services continued to counter the 69% fall suffered in the S&P 500.
The Head of Research and Trading at Harvest Volatility Management, Mike Zigmont, said that people are looking ahead. They’re saying, ‘OK, the pandemic has happened, and the damage has swept through our economy and our businesses. But now we’re planning on the growth after the carnage, so we’re valuing equities as if we’re going to go back to a decent growth environment’.
Given the hope that the economy will strengthen. Worries persist about the potential for new waves of infection to reach countries that have already relaxed their lockdown policies, such as China and South Korea.
Companies around the globe express concerns regarding the future. While others have opted to disregard their revenue predictions in their quarterly earnings results.