S&P 500 Stable Below ATH Ahead of A Big Week, Nvidia Increases the Value Further

Last week, markets saw mixed activity as indices like the S&P 500 experienced a slight pullback yet remained close to their all-time highs, while Nvidia surged higher, becoming the most valuable company despite ending the day slightly lower. Meanwhile, safe-haven assets, notably gold, reached new record highs. Today, equities traded within a narrow range, showing little volatility across most U.S. indices.

S&P 500 Chart Daily – Consolidating in Range

U.S. Bond Auctions: Higher Yields and Weak Domestic Demand

Today’s U.S. bond auctions saw $69 billion in two-year notes sold at a yield of 4.130%, marginally above the 4.122% expected rate. The Treasury conducted this auction earlier than usual due to the additional sale of five-year notes later in the day, totaling $70 billion at a high yield of 4.138%—1.6 basis points above the typical yield, signaling lower demand.

Buyer Behavior in Stocks and Demand Trends

The five-year note auction reflected weak domestic demand, with only 9.5% coverage compared to the average 17.6%, while foreign interest was notably stronger, covering 76.4% versus a norm of 68.0%. However, buyers remained conservative, showing limited urgency to meet the WI (when-issued) level, suggesting cautious sentiment amid higher supply.

Technology Sector Gains Momentum with Semiconductor and Consumer Electronics Surge

The technology sector saw significant advances, especially in semiconductors and consumer electronics. Apple (AAPL) gained 1.3%, showing strong investor confidence, while Nvidia (NVDA) rose by 0.6%, reflecting sustained interest in semiconductor companies. Advanced Micro Devices (AMD) surged by 1.5%, reinforcing its popularity as a top market pick.

European indices ended the day on a strong note, with gains near 0.70%. Across the Atlantic, major U.S. indices also posted gains, despite closing closer to session lows. Markets began the week in positive territory, supported by resilience across various sectors.

Closing Levels for Main US Indices

• Dow Jones: +0.65%, benefiting from robust performance in industrial and financial stocks.
• S&P 500: +0.27%, showing moderate gains with notable activity in tech and healthcare.
• Nasdaq: +0.26%, slightly trailing but still in positive territory as tech sentiment remained firm.

The Russell 2000 led the U.S. indices with a notable rise of 1.63%, driven by increased interest in small-cap stocks, highlighting a shift in investor focus toward sectors with potential for domestic growth.

S&P 500 Live Chart