Stock Market Today, July 27: Dow Rises on Oil Retreat, and Sandisk Plunges 11% on Memory Weakness
The Dow Jones Industrial Average (^DJI +0.51%) rose 0.51% to 52,210 as lower oil prices boosted blue chips, and the S&P 500 (^GSPC +0.02%) edged up 0.02% to 7,413 to break a four-session losing streak, and the Nasdaq Composite (^IXIC -0.18%) slipped 0.18% to 24,932 on semiconductor weakness.
Today’s Change
(0.02%) +1.20
Index Level
7,413.18
Key Data Points
Day’s Range
7,382.74 – 7,480.57
52wk Range
6,212.69 – 7,620.90
Gold rose 0.28% to $4,081.37 as of U.S. market close, while the 10-Year Treasury yield fell 0.03% to 4.65%. Consumer defensive and communication stocks were the biggest gainers, while energy and technology stocks saw the biggest declines.
Today’s biggest moves
ServiceNow shares surged as software stocks erased some of this year’s losses. Apple shares gained, and the firm overtook Nvidia as the biggest company by market cap. Nvidia dropped on news that a Chinese company might mass-manufacture key chipmaking equipment. Memory stocks, such as Sandisk and Micron Technology, plunged following a massive Shanghai IPO by a Chinese memory rival.
What this means for investors
The retreat in oil prices on news of de-escalating tensions in the Middle East went some way to easing inflation fears. WTI crude oil fell over 8% to around $82 a barrel, boosting the Dow. However, a sharp sell-off in chipmakers offset those gains, as developments in China pressured artificial intelligence (AI) and memory stocks.
A note from Bank of America gave investors another reason to hold off on buying the dip. Analysts say that historically, stocks perform worst in the three months between August and October. Combined with high energy costs, rising bond yields, and AI jitters, there are a lot of signals reinforcing the need for caution.
Bank of America is an advertising partner of Motley Fool Money. Emma Newbery has positions in Apple and Nvidia. The Motley Fool has positions in and recommends Apple, Micron Technology, Nvidia, and ServiceNow. The Motley Fool has a disclosure policy.
