The stock market experienced notable movements on Monday, with the Nasdaq seeing a 1.5% increase, translating to a gain of 277 points. This upturn followed President Joe Biden’s announcement that he would withdraw from the presidential race, endorsing Vice President Kamala Harris as his successor. In addition to the Nasdaq’s performance, the Dow Jones Industrial Average rose by 0.3%, while the S&P 500 climbed by 1.1%.
In political betting, Polymarket has declared Harris as the favored candidate for the Democratic nomination, while PredictIt, based in New Zealand, projects her as the likely 47th president of the United States.
On the corporate front, Nvidia saw its shares rise by 4% after reports emerged of the company’s plans to develop a new version of its Blackwell AI chips for the Chinese market. Set to launch in collaboration with a local distributor, Inspur, the B20 chip is expected to begin shipping in the second quarter of 2025.
Meanwhile, Tesla’s stock surged nearly 5% just one day before its highly anticipated earnings report. CEO Elon Musk indicated on social media that the company plans to introduce production of humanoid robots for internal use within the next year, with hopes for broader availability in 2026.
Conversely, cybersecurity firm CrowdStrike faced challenges following a significant tech outage that impacted around 8.5 million Windows devices. Although many of these have returned to service, CrowdStrike’s stock saw a decline of over 13%, trading around $263 in the afternoon.
Verizon’s stock also took a hit, falling nearly 6% after the telecommunications company reported quarterly earnings that missed revenue expectations. The company indicated that consumers are delaying upgrades on their devices, affecting overall sales. Verizon reported second-quarter revenue of $32.8 billion, slightly below analysts’ expectations of $33.06 billion, with earnings per share in line with forecasts at $1.15.
Overall, the market shows resilience, with certain sectors like AI technology and electric vehicles thriving even amid challenges faced by companies like CrowdStrike and Verizon. This highlights a dynamic landscape where innovation and adaptability continue to play critical roles in shaping the financial environment.
In a hopeful note, advancements in AI technology and the commitment to innovative products like Tesla’s robots could pave the way for future growth and recovery in affected sectors, providing reasons for optimism as the market evolves.