Tuesday saw a second day of losses in stocks as the current Wall Street rise stalled.
Following the open-source software development platform GitLab’s good quarterly outlook and beating quarterly financial expectations, the stock surged by almost 14%.
After a dismal session, the market is recovering. Monday’s 0.8% decline in the Nasdaq Composite was caused by a general decline in tech businesses. The Dow with 30 stocks down 0.1%, while the S&P 500 fell 0.5%. The decline followed five weeks in a row of increases for the three main averages.
The Russell 2000 posted a 1% increase, defying the trend in small caps. A broader market surge appears likely given the small-cap index’s roughly 7% gain over the previous month. Despite the Federal Reserve’s recent hawkish remarks, traders are becoming more confident that the institution will start lowering interest rates next year, which is why they are seeing gains.
Coastal Wealth’s senior executive vice president, Jason Heller, advises investors, however, to lower their expectations for market advancements in 2024.
Source (CNBC)