Tuesday’s tech-driven stock market rally brought some interesting results. Dow Jones futures gained 200 points early Wednesday, while S&P 500 futures and Nasdaq 100 futures also acquired much stronger positions. The Nasdaq got its boost from the stock market leaders like Apple, Netflix, Shopify and Zoom. The news everyone pierced their eyes on was Tesla. This market giant announced to sell $5 billion of stock, but the market reaction was far from ecstatic.
Nasdaq jumped 1.4% to hit another all-time high Tuesday. The S&P 500 increased by 0.75%, hitting a record high, while the Dow Jones Industrial Average gained a respectful 0.8%, pulled up by a 6.3% surge in shares of Walmart (WMT).
Stock market leaders Apple (AAPL), Netflix (NFLX), Shopify (SHOP) and Zoom Video (ZM) were top leaders on Tuesday.
After Tesla (TSLA) announced its plan to sell $5 billion of stock, the company lost 4.7% of its gains of the day.
Despite the COVID-19 outbreak, APPLE grew 4% after the report indicated a solid demand. Apple announced to target 75 million 5G iPhones for this year’s launch.
Apple shares hit a new high. This blue-chip giant is the best performing Dow Jones stock in 2020 thus far.
The announcement of Walmart+ to launch on September 15 allowed Walmart stock to jump 6.3%. The service will offer free delivery on items at in-store prices, with 2,700 stores capable of offering same-day delivery. This service will be available with a 15-day free trial. After that, to continue using the service will cost its members $98 a year, or $12.95 a month.
Stock market leader Tesla ended a volatile session, losing 4.7%. Shares briefly reached a new high before a 5.5% slump after the company said it would sell up to $5 billion in stock. As reported, the shares would be sold “from time to time” with “at-the-market” prices based on the company’s instructions.
According to Wedbush analyst Daneil Ives in a note to clients, “We believe this is the smart move at the right time for (Elon) Musk & Co. after the parabolic rally in shares with the appetite strong among investors to play the transformational electric-vehicle trend.”