Wall Street: US stock market ends high led by gains in tech stocks; Nvidia shares jump 7%

The S&P 500 rallied 0.58% to end at 4,489.72 points, while the Nasdaq jumped 1.05% to 13,788.33 points. The Dow Jones Industrial Average ended 0.07% higher at 35,307.63.

Rally in S&P 500 and the Nasdaq was led by chipmaker Nvidia shares that surged after a bullish note from Morgan Stanley. 

Nvidia share price rallied 7.1%, registering its biggest single-day gain since May 25, when it had jumped 24% on a robust revenue forecast.

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“NVIDIA remains our top pick, with a backdrop of the massive shift in spending towards AI, and a fairly exceptional supply-demand imbalance that should persist for the next several quarters,” Morgan Stanley analysts said in a note on Monday, Reuters reported.

The rally in Nvidia shares also boosted other megacap growth stocks and lifted the information technology index 1.85% higher.

Among other megacap growth stocks, Alphabet shares gained 1.4%, Amazon.com was up 1.6%, while chipmaker Micron Technology rallied 6.1%.

Also Read: Global markets update: US stocks gain ahead of retail sales data

Meanwhile, Tesla share price declined 1.2% after the electric vehicle (EV) said it had cut prices in China for some Model Y versions.

Hawaiian Electric Industries shares tanked almost 34%, as scrutiny mounted over whether the utility’s equipment played any role in deadly wildfires that burnt through the coastal Maui town of Lahaina, Reuters reported.

Going ahead, investors will focus on quarterly earnings from major US retailers including Walmart and Target along with retail sales data for July.

(With inputs from Reuters)

Updated: 15 Aug 2023, 09:00 AM IST