Stock market today: Dow, S&P 500, Nasdaq fall as comeback bid falters and Tesla, Apple slide

Published On Jan 2, 2025, 4:45 PM

On the first trading day of the year, major U.S. indices closed lower, with the S&P 500 falling 0.2%, the Dow Jones Industrial Average down 0.3%, and the Nasdaq Composite slightly lower. Notable declines were experienced by Tesla and Apple, following disappointing delivery figures and price cuts in China, respectively. The Dollar Index rose above 109, signaling potential future challenges for U.S. stocks as a stronger dollar tends to negatively impact earnings from international sales. Overall, the market sentiment indicates a possible slowdown in growth following two strong years, yet some analysts still foresee continued gains with a projected 10% increase in the S&P 500 over the next 12 months.

Stock Forecasts

TSLA

Negative

Tesla has faced negative press due to its first annual decline in deliveries and an explosion incident involving the Cybertruck, leading to almost a 6% drop in shares.

AAPL

Negative

Apple's recent price cuts to boost iPhone sales amidst rising local competition in China might indicate pressure on margins, contributing to a decline of over 2.5% in share price.

XLY

Negative

The strong increase in the US Dollar Index could negatively impact companies with large international exposure, representing a broader risk for these equities, particularly those in export-heavy sectors.

NET

Positive

Cloudflare received a double upgrade from Goldman Sachs, with analysts predicting significant upside, leading to immediate stock gains. This reflects a bullish outlook on tech companies focusing on AI.

NVDA

Positive

With Nvidia, Amazon, and Meta leading tech stocks higher due to AI momentum, these stocks may benefit from continuing investment into technology, resulting in potential gains.

Related News

Markets are set to kick off the new year on the front foot as faith in techs reemerges.

TSLA
AAPL
NET
XHB
NVDA

Markets are set to kick off the new year on the front foot as faith in techs reemerges.

NVDA
TSLA
AAPL

The electric-car company led by Elon Musk no longer has the market to itself. Investors are focusing on autonomous driving and other new technologies.