(Reuters) – Technology stocks fell slightly, putting pressure on the Nasdaq, while the Dow rose after jobless claims data raised hopes of a rate cut by the Federal Reserve.
The Nasdaq hit new intraday records shortly after the open, but the initial gains faded due to a 0.9% decline in Nvidia, which surpassed the $3 trillion market valuation in the previous session and has surpassed Apple (NASDAQ:) as the second most valuable company in the world.
Gains from Nvidia and other AI-related players have largely fueled Wall Street’s rally this year, with the chipmaker accounting for about a third of the S&P 500’s gains, or more than 12% year to date.
On the data front, the Labor Department said jobless claims rose more than expected, reaching a seasonally adjusted 229,000 in the week ending June 1, the latest in a series of data indicating that Labor market rigidity is reducing, giving the Fed more room to cut rates.
Attention now turns to the crucial jobs report due on Friday.
At 4.30 pm, the Average rose by 0.07%, to 38,824.68 points, the S&P 500 gained 0.01%, to 5,354.64, and lost 0.08%, to 17,175.22.
(Translated by Luca Fratangelo, editing Claudia Cristoferi)
