At the same time, economic activity in the U.S. is gaining momentum, as shown by recent surveys, demonstrating positive changes. Stock market indices show slight fluctuations: S&P 500 rose by 0.08%, Nasdaq strengthened by 0.36%, while Dow decreased by 0.26%.
The S&P 500 index, having risen to its fourth record high, demonstrates impressive dynamics. Shares of Netflix, which increased after outstanding quarterly results and a strong report from ASML, supported this growth, especially among chip manufacturers. Microsoft, one of Wall Street's most valuable companies, also contributed, reaching a record height in its market value.
Nasdaq, showing the highest level since January 2022, is just a few percent away from its historical peak set in November 2021. This underscores the overall market optimism.
The global MSCI stock index also participates in this upward trend, reaching its peak for almost two years, thanks to positive earnings and economic data, both in Europe and the U.S., as well as hopes for economic stimuli in China, which will support its stock markets.
Netflix shares, strengthened by 10.7% and reaching a two-year high, became a bright example of success in the world of streaming broadcasting. The increase in the number of subscribers and strategies, such as combating illegal password use and offering quality content, have strengthened investors' confidence in the company.
The S&P 500 Communications Services Index, which includes Netflix, also shows impressive achievements, showing a rise of 1.2% and reaching a two-year high. This underscores the impact of major players in this sector.
Companies Alphabet and Meta Platforms, being part of the elite "Magnificent Seven" group, made a significant contribution to the recovery of the S&P 500 in 2023, each increasing their shares by more than 1%. These technology giants continue to exert significant influence on the market.
Mike Dixon, head of research at Horizon Investments, comments: "Technology companies, especially the 'Magnificent Seven' and the field of artificial intelligence, showed outstanding results and forecasts last year. In the next 10 days, we will see the results of these achievements, but the first signs are clearly positive."
The S&P 500 showed modest growth of 0.08% and closed at 4868.55 points. However, despite this growth, the number of falling stocks in the index exceeded the number of rising ones, with a ratio of 2.5 to one.
Nasdaq increased by 0.36%, reaching 15,481.92 points, while the industrial Dow Jones index slightly decreased by 0.26%, closing at 37,806.39 points. The trading volume on U.S. exchanges was significant: 11.6 billion shares were sold, higher than the average indicator of the last 20 sessions of 11.4 billion shares.
Tesla shares fell slightly by 0.6%, putting pressure on the S&P 500 index ahead of the publication of results for the December quarter after the market closed.
The Philadelphia SE Semiconductor Index rose by 1.54%, reaching a record high due to encouraging results from ASML Holding, indicating a recovery in global demand for microchips.
Shares of Nvidia and Broadcom, both increasing by more than 2%, reached their record highs. Nvidia, in particular, attracted attention, with a turnover of more than 34 billion dollars, making it one of the most active stocks on Wall Street.
AT&T shares experienced a noticeable decline of 3% after their annual profit forecast turned out to be lower than expected. Similarly, shares of DuPont De Nemours also fell by 14%, caused by a forecast of losses in the fourth quarter.
The latest research data reflects an increase in business activity in January, accompanied by signs of a decrease in inflation. This gives reason to believe that the U.S. economy entered 2024 on a positive note.
With the stability of the American economy and uncertainty regarding the plans of the Federal Reserve to lower interest rates, investors are revising their forecasts regarding the speed of this reduction in the current year.
In the commodities sector, oil prices rose. This was caused by unexpectedly large withdrawals of oil from American storage, a reduction in oil production in the U.S., economic stimuli in China, geopolitical tensions, and a weakening of the dollar.
The price of West Texas Intermediate oil increased by 0.97% or $0.72, reaching $75.09 per barrel. At the same time, Brent crude oil rose by 0.62% or $0.49, reaching $80.04 per barrel.
In the precious metals segment, the price of gold fell by 0.79%, amounting to $2012.59 per ounce. This decline occurred against the background of data on the growth of business activity in the U.S., although a weaker dollar partially limited losses.
