Stock market today: S&P 500, Dow rise as Wall Street eyes a new year comeback

Published On Jan 2, 2025, 9:51 AM

The stock market began the new year positively with the S&P 500 gaining 0.5% and the Dow Jones Industrial Average up by 0.6%. Despite a lackluster finish at 2024's end, market sentiment is optimistic for a comeback year, particularly due to renewed interest in major tech stocks such as Nvidia, Amazon, and Meta, driven by advances in artificial intelligence. Tesla's stock dropped over 6% after reporting its first decline in annual deliveries, alongside competition concerns for Apple and Alibaba.

Stock Forecasts

SPY

Positive

With the favorable outlook for tech stocks and a general market recovery anticipated, investors can expect to see growth in major indices and tech stocks. However, recent concerns around Tesla's delivery numbers may weigh down its stock in the short term.

NVDA

Positive

Nvidia has shown resilience in its stock performance, driven by AI developments and a strong market position. Given the positive sentiment in tech, Nvidia is likely to see continued growth as demand for its products remains high.

TSLA

Negative

Tesla's current challenges related to vehicle delivery numbers and competitive pricing pressures may lead to short-term stock declines. Investors should be cautious, as the market reacts to these developments.

AAPL

Negative

Apple's stock is under pressure due to competition and discounting strategies in China. This may lead to a continued negative trajectory unless the company can regain its pricing power and market share.

Related News

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

TSLA
SPY

Shares of the company fell 3.5% before the bell, in a sign of investor worries over the challenges facing CEO Elon Musk, who expected promotions including zero-interest financing to power a "slight growth" in deliveries in 2024. Reduced European subsidies, a shift in the U.S. toward lower-priced hybrid vehicles and tougher competition from China's BYD have pressured Tesla. In response, Musk pivoted Tesla to self-driving taxis and backed President-elect Donald Trump with millions of dollars in campaign donations in hopes that it could bring regulatory relief for the company.

Many speculative pockets of the stock market surged in early trading Thursday, the first session of the new year.

MSTR
NVDA