Market Recap
US stocks closed mixed on Wednesday, with the Dow Jones posting a new all-time high for the second straight day, supported by strong gains in Goldman Sachs and UnitedHealth. Meanwhile, the Nasdaq dipped slightly as the AI stock rally continued to lose momentum.
Congress passed a temporary funding bill to end the longest US government shutdown in history, restoring federal employee pay and critical services such as air traffic control.
Bill Northey, CIO at US Bank Wealth Management, said: “The removal of shutdown risk is a positive for sentiment and for the real economy, especially aviation and logistics.”
AI stocks extended their recent pullback after SoftBank revealed it had sold its entire Nvidia stake for $5.8 billion, intensifying concerns that the AI boom may be peaking. Investors are now watching Nvidia’s upcoming earnings report next week, seen as a key test for market sentiment.
US Markets
Tech stocks were mixed:
- Meta -2.88%
- Tesla -2.05%
- Amazon -1.97%
- Google A -1.58%
- Apple -0.70%
- Nvidia +0.33%
- Microsoft +0.53%
AMD stood out, soaring 9% on strong chip sales, defying the broader AI sector weakness.
Chinese ADRs fell broadly, with the Nasdaq Golden Dragon China Index down 1.46%.
- XPeng, Nio, iQIYI, Baidu -2%+
- Li Auto, Alibaba, JD.com -1%+
Market Snapshot:
- Dow Jones: +326.86 pts (+0.68%) → 48,254.82
- Nasdaq: -61.84 pts (-0.26%) → 23,406.46
- S&P 500: +4.38 pts (+0.06%) → 6,850.99
Hong Kong Markets
Hong Kong stocks closed lower:
- Hang Seng Index: -0.58% → 26,766.78
- Hang Seng Tech Index: -0.77% → 5,888.39
- China Enterprises Index: -0.64% → 9,477.75
Tech stocks declined across the board — JD.com -2%, Tencent, Alibaba, and Meituan -1%+.
Biotech stocks extended gains, with BeiGene +6% after reporting 44.2% YoY revenue growth and returning to profitability.
Lithium battery stocks rallied, led by Ganfeng Lithium +11%, following new government guidance promoting renewable integration and green energy for computing facilities. Lithium carbonate futures surged above ¥88,000.
A50 & Mainland China
Mainland stocks rallied broadly, with over 3,800 gainers across markets.
- Shanghai Composite: +0.44% → 4,017.94
- Shenzhen Component: +1.80% → 13,478.83
- ChiNext Index: +2.68% → 3,205.76
Battery supply chain, metals, and semiconductors led gains, while oil & gas, banking, and insurance sectors lagged.
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