NY Stock Market, Tech Stocks and Bitcoin Rally Despite FOMC Caution (Comprehensive)

[Image source=Reuters Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] The New York stock market closed mixed amid caution ahead of this week's Federal Open Market Committee (FOMC) regular meeting. While the decline in U.S. Treasury yields continued, the Dow Jones Industrial Average fell, but the tech-heavy Nasdaq index showed strength. Cryptocurrencies such as Bitcoin were also strong.

On the 14th (local time), the Dow Jones Industrial Average closed at 34,393.75, down 85.85 points (0.25%), the S&P 500 index rose 7.71 points (0.18%) to 4,255.15, and the Nasdaq index gained 104.72 points (0.74%) to close at 14,174.14.

On this day, technology stocks once again showed strength, with the S&P 500 and Nasdaq indices both hitting record highs, but the Dow declined amid weakness in cyclical and financial stocks.

The Treasury yields that fueled the tech stock rally showed little change. The 10-year U.S. Treasury yield only saw a slight rebound, showing no significant movement.

Financial stocks such as JPMorgan and Goldman Sachs fell about 1%. Apple, the leading tech stock, rose 2.4%, regaining the $130 level.

Billionaire hedge fund manager Paul Tudor Jones said that if the Fed continues to ignore rising inflation, he would focus on inflation trades, mentioning commodities, gold, and cryptocurrencies as investment targets. Supported by Tudor Jones' remarks, Bitcoin prices showed strength, recovering to $40,000 during the session.

Concerns over the spread of variant viruses caused Norwegian Cruise Line's stock to fall nearly 4%. Airline stocks such as United and Delta also dropped about 1%.

Tesla's stock rose 1% after Elon Musk hinted at allowing Bitcoin payments. Riding on Bitcoin's rise, Coinbase surged 6%, and MicroStrategy jumped 15%.

The representative meme stock AMC Entertainment rose 15%, while electric truck startup Rostown Motors fell more than 18% following news of key executives stepping down.