The S&P 500 closed lower on Thursday after briefly surpassing the 5,500 milestone for the first time ever. The drop was attributed to Nvidia cooling its recent rally, which dragged the broader tech sector down. Additionally, a flurry of economic data pointed to signs of a weaker economy.
By 16:00 ET (20:00 GMT), the S&P 500 fell 0.2% after hitting an all-time high of 5,505.23. The Nasdaq lost 0.8%, while the Dow Jones Industrial Average was up 299 points, or 0.7%.
In a surprising turn of events, Nvidia Corporation lost its position as the most valuable company to Microsoft. Nvidia’s market cap fell to $3.217 trillion, just below Microsoft’s $3.312 trillion, with Apple remaining in third place with $3.215 trillion. On the other hand, rival Advanced Micro Devices Inc traded up 4% after being highlighted as a top pick by Piper Sandler.
Accenture stock surged over 7% after forecasting annual revenue growth above estimates, driven by the growing adoption of artificial intelligence. However, Trump Media & Technology Group stock fell 14% due to a potential stock dilution issue following a ruling by the U.S. Securities and Exchange Commission.
In economic news, housing starts slumped in May, and jobless claims were higher than expected. Federal Reserve officials have expressed caution about rate cuts, with some seeking more evidence that inflation has been tamed before considering easing monetary policy.
Overall, the market experienced a mix of ups and downs, with various companies and economic indicators influencing investor sentiment. Stay tuned for more updates as the market continues to evolve.
