The chip stock index has been underperforming the market for two consecutive days, with Nvidia experiencing a nearly 4% drop. However, Tesla saw a rise of more than 4% and Apple had two consecutive positive days. Boeing fell by more than 4% during the session. On the other hand, the China Concept Stock Index rose by more than 3%, outperforming the market for two days. Xpeng Motors rose by more than 7% at midday, while NIO rose by nearly 7%.
Investors are eagerly awaiting the release of the U.S. Consumer Price Index (CPI) and Producer Price Index (PPI) for February, which are set to be announced on Tuesday and Thursday respectively. This data will be crucial as it could signal a rebound in inflation growth compared to January’s numbers. The Federal Reserve’s upcoming monetary policy meeting later this month will also be influenced by these inflation figures.
Before the release of this important inflation data, traders seem hesitant to push up U.S. stocks. Chip stocks, which played a significant role in the decline of major U.S. stock indexes last Friday, continued to weigh down the market. Chinese concept stocks, on the other hand, followed A shares higher and outperformed the market once again.
The major U.S. stock indexes opened lower and sustained their losses in early trading, with the Nasdaq Composite Index falling almost 0.7% and the Dow Jones Industrial Average dropping nearly 240 points. However, by midday, the indexes managed to narrow their losses, with the Dow even turning slightly higher.
Tech stocks like Nvidia, Apple, and Tesla experienced fluctuations, with some seeing gains and others facing losses during the session. Chip stocks, in particular, continued to struggle after last Friday’s decline, underperforming the market for two consecutive days.
As investors brace themselves for the release of crucial inflation data, the future of the U.S. stock market remains uncertain. Only time will tell how these indicators will impact the market and whether the recent trends in tech and chip stocks will continue. Investors are advised to proceed with caution and consider their own risk tolerance before making any investment decisions.