Nasdaq is on the rise thanks to the rise of the tech sector

Nasdaq is on the rise thanks to the rise of the tech sector

Nasdaq is on the rise thanks to the rise of the tech sector

(Reuters) – The US S&P 500 and Dow Jones are down amid weak labor stats, while the Nasdaq has jumped on the back of a return to tech stocks.

Technology companies Apple Inc (NASDAQ: AAPL), Amazon.com Inc (NASDAQ: AMZN) and Nvidia Corp (NASDAQ: NVDA) are up 0.4-1.2%.

At the same time, the markets are under pressure from the data on the unexpected increase in the number of applications for unemployment benefits in the US and the dwindling hopes for new stimulus.

US jobless claims rose to 870,000 last week from the revised 866,000 the previous week, the Labor Department said Thursday. Economists surveyed by Reuters, on average, expected the figure to drop to 840,000 from the previously announced 860,000 a week earlier.

“The cloud of uncertainty continues to grow,” said Peter Cardillo, senior market economist at Spartan Capital Securities.

“The coronavirus has reappeared on the front pages of newspapers and the market is now really wary of election uncertainty. As we approach the end of the month, the downward trend intensifies,” he said.

By 17:49 Moscow time, the Dow Jones index fell 0.20% to 26,710.36 points, the S&P 500 index slowed down 0.04% to 3.235.60 points. Meanwhile, the Nasdaq added 0.15% to 10.649.46 points.

The CBOE Volatility Index, referred to as the “Wall Street fear indicator”, has been increasing for the third day of the last four.

Securities of the largest US banks, including Goldman Sachs Group Inc (NYSE: GS), Wells Fargo (NYSE: WFC) & Co and Morgan Stanley (NYSE: MS), are up 0.8-3.7%.

Nikola Corp dropped 15.2% after Wedbush downgraded its recommendation to below market. The company's shares may end the week with the worst drop on record.

Accenture Plc fell 6.2% after the IT consulting firm predicted that its current quarter revenue could be worse than expected.

(Sagarika Jaysinghani and Devik Jain in Bangalore. Translated by Vladimir Sadykov. Editor Marina Bobrova)

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