Tech stocks are seeing positive momentum with the Nasdaq up by 1.5% and gaining 277 points on Monday afternoon. This surge follows President Joe Biden’s announcement that he is withdrawing from the presidential race and endorsing Vice President Kamala Harris. The Dow Jones Industrial Average and S&P 500 also experienced gains of 0.3% and 1.1%, respectively.
Market predictions are leaning towards Harris becoming the Democratic nominee for president, with Polymarket backing her, while PredictIt suggests she is likely to become the 47th president of the United States.
Nvidia’s stock rose by 4% after reports surfaced that the company is working on a version of its Blackwell AI chips specifically for the Chinese market, in collaboration with local partner Inspur. The new chip, referred to as the “B20,” is expected to start shipping in the second quarter of 2025.
Tesla’s shares climbed nearly 5% just a day before its earnings report, where CEO Elon Musk is anticipated to discuss the long-awaited robotaxi rollout. Musk announced on social media that Tesla plans to produce humanoid robots for internal use next year and aims for larger production for external companies by 2026.
In contrast, CrowdStrike, which was involved in a significant tech outage last Friday, continues to deal with the repercussions, despite indications that services are gradually returning to normal. The company’s stock fell over 13%, trading at approximately $263.
Verizon’s stock fell nearly 6% after its quarterly report showed that it missed revenue expectations. Customers are reportedly keeping their phones longer, which is negatively affecting telecom companies’ upgrade rates. Verizon’s revenue for the second quarter was reported at $32.8 billion, slightly below the anticipated $33.06 billion, while its earnings per share matched expectations at $1.15.