Stock market today: Nasdaq jumps, S&P 500 nears record as Netflix, 'Stargate' AI project invigorate tech
Published On Jan 22, 2025, 4:23 PM
Tech stocks rallied as Netflix's stock surged to record highs following a strong earnings report, leading to an impressive 18.9 million new subscribers. The Nasdaq rose nearly 1.3%, while President Trump's $500 billion AI investment plan bolstered tech stocks, with Oracle and SoftBank seeing substantial gains. Amid a backdrop of potential tariffs on China and trade tensions, optimism around AI investments appears strong, driving further interest in tech stocks. Companies like Johnson & Johnson and Procter & Gamble also reported positive earnings, though J&J's stock dropped due to concerns over a strong dollar and declining COVID-19 vaccine sales.
Stock Forecasts
NFLX
Positive
Netflix's strong quarterly earnings and subscriber growth indicate robust future performance, especially with new price hikes and a stock buyback plan in place. The upbeat sentiment from analysts regarding NFLX suggests continued bullish movement.
ORCL
Positive
The announced commitment to AI investments and the resulting surge in stock prices for Oracle and SoftBank suggests a favorable outlook for these companies. This trend aligns with the ongoing enthusiasm for automation and AI technologies, which are expected to grow due to rising demand.
XLI
Negative
The potential for trade tensions to escalate due to tariff threats poses risks for companies heavily reliant on imports or international supply chains. While specific stocks weren't highlighted for downward action, caution is warranted across sectors exposed to these risks.
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