Nasdaq 100 Sees Best 6-Day Rally Since Late 2022 As Traders Ride Bull Market Wave: Tech Stocks On The Move Thursday

Author: Piero Cingari | August 15, 2024 04:42pm

The tech-heavy Nasdaq 100, tracked by the Invesco QQQ Trust, Series 1 (NASDAQ:QQQ), closed Thursday 2.5% higher, notching its sixth consecutive positive session and marking a strong rebound after the index had entered correction territory due to the early-month selloff.

With a 9% rally over the last six sessions, this marks the best six-day run since November 2022, signaling that bullish sentiment remains alive among traders who jumped at the opportunity to buy tech stocks on the dip.

From a technical perspective, Thursday's session represents a significant checkpoint for the Nasdaq 100, as the index climbed back above its 50-day moving average after dropping below it on July 24.

Chart: Tech Stocks Break Above 50-Day Average, Notch Strongest 6-Day Rally In Nearly Two Years

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Within tech industries, semiconductor stocks saw the most significant gains, with the VanEck Semiconductor ETF (NYSE:SMH) up 16% over the last six sessions, also marking its strongest streak since late 2022.

The easing of recession fears that surfaced earlier this month has been the primary catalyst driving the recovery in the stock markets, particularly in tech stocks, which were among the hardest hit at the start of the month.

The U.S. economy hasn’t appeared as sluggish as some early August economic data suggested—especially the disappointing July jobs report.

Initial jobless claims have unexpectedly declined over the past two weeks, casting reasonable doubt on whether the July increase in the unemployment rate from 4.1% to 4.3% was merely a temporary anomaly rather than a sign of deeper labor market issues.

Retail sales also sharply exceeded expectations in July, showing a robust 1% month-over-month increase—the fastest pace since January 2023. Not exactly what you would expect from an economy on the brink of a recession.

Top Five Performing Nasdaq 100 Stocks On Thursday

Name	% Return
Marvell Technology, Inc. (NASDAQ:MRVL)	8.71
Super Micro Computer, Inc. (NASDAQ:SMCI)	8.59
Cisco Systems, Inc. (NASDAQ:CSCO)	6.78
ON Semiconductor Corporation (NASDAQ:ON)	6.76
Lululemon Athletica Inc. (NASDAQ:LULU)	6.68

Worst Five Performing Nasdaq 100 Stocks On Thursday

Name	% Return
Mondelez International, Inc. (NASDAQ:MDLZ)	-1.32
O’Reilly Automotive, Inc. (NASDAQ:ORLY)	-1.24
T-Mobile US, Inc. (NASDAQ:TMUS)	-0.96
Verisk Analytics, Inc. (NASDAQ:VRSK)	-0.90
The Kraft Heinz Company (NASDAQ:KHC)	-0.88

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Photo: Shutterstock

Posted In: CSCO KHC LULU MDLZ MRVL ON ORLY QQQ SMCI SMH TMUS VRSK