The US stock market saw record gains on Thursday, propelled by a sharp rebound in tech stocks that have recently been taking losses.
The Nasdaq Composite index jumped 2.5% yesterday, following suit with the Dow Jones and S&P 500 as both rose to record highs before yesterday’s close. The bond yield on 10-year US notes has held steady at 1.52%, reassuring a large portion of investors who were carefully watching inflation rates.
The other driver for this massive spike was the weekly US Jobless report, which showed a decrease of 42,000 in initial claims for the week ending March 6. The national unemployment rate also saw a slight decrease of 0.3% to 2.8%, which is the lowest that number has been since November.
Investors speculate that tech, while profitable, could prove risky in the long term. This volatility could come from shifts in public opinion towards big tech, with both Facebook and Google both facing anti-trust suits that could tarnish their reputations.
Others say that a future that doesn’t revolve around massive tech corporations is hard to see, and that large tech firms will be a safe bet moving into the future.
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