Stock market today: Dow, S&P 500 cap weekly losses, Broadcom surges 24% to top $1 trillion market cap

Published On Dec 13, 2024, 5:50 PM

Stocks remained mostly unchanged despite significant gains in Broadcom's stock, driven by a strong sales forecast related to AI technology. The S&P 500 closed flat while the Nasdaq gained slightly. Broadcom's market cap surpassed $1 trillion after its stock jumped by about 24% on the back of predictions of AI-related sales growth. Other semiconductor stocks like Marvell Technology and Taiwan Semiconductor also saw gains, whereas Nvidia and AMD fell. The healthcare sector struggled, particularly after UnitedHealth shares dropped due to lingering issues post a high-profile incident involving their CEO. Investors are awaiting potential Federal Reserve rate cuts amidst mixed inflation signals.

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Stock Forecasts

AVGOView AVGO chart on TradingView

Positive

Broadcom's strong performance and bullish outlook on AI-driven sales suggest continued growth in the semiconductor space, especially considering the increasing importance of AI technology in various industries. This momentum could further influence other semiconductor stocks positively or lead to market consolidation in this catalyzed sector.

NVDAView NVDA chart on TradingView

Negative

Despite Broadcom's success, Nvidia and AMD may face headwinds as investor sentiment shifts positively towards companies like Broadcom that are gaining from AI trends. Given their recent stock movements, Nvidia and AMD's stocks could experience continued downside pressure.

MRVLView MRVL chart on TradingView

Positive

Marvell Technology's stock is likely to benefit from the ripple effect of Broadcom's positive outlook and strong market performance, leading to potential upward movement in Marvell shares as investors reassess their investment strategies.

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