New York Stock Market Mixed Amid High-Price Concerns... Nasdaq Hits All-Time High

The New York stock market showed mixed results amid concerns over high valuations. The Nasdaq index reached an all-time high.

On the 22nd (Eastern Time), at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average closed at 39,475.90, down 305.47 points (0.77%) from the previous session.

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The Standard & Poor's (S&P) 500 index fell 7.35 points (0.14%) to 5,234.18, while the Nasdaq index rose 26.98 points (0.16%) to close at 16,428.82.

The three major indices had set record highs for two consecutive days until the previous day. Expectations of interest rate cuts within the year and a stronger-than-expected economic environment supported the stock prices, but on this day, concerns over high valuations led to mixed movements across the indices.

The Dow fell just shy of the 40,000 mark, marking its first decline in five trading days. The Nasdaq index broke its previous record high.

On this day, FedEx reported sales and net income exceeding expectations, causing its stock price to rise more than 7%.

Lululemon also posted better-than-expected earnings, but its stock fell about 16% due to disappointment over quarterly and annual guidance. Nike's stock dropped about 7% despite beating expectations, due to disappointing guidance and news of slowing growth in China.

Baidu's stock, listed in New York, rose about 0.5% on news that Apple was discussing using Baidu's artificial intelligence (AI) technology in Apple devices within China.

Tesla's stock fell more than 1% after reports that the company informed workers at its Shanghai factory of plans to reduce production of the Model 3 and Model Y.

Reddit's stock, which made a splash on its first day after debuting on the New York stock market the previous day, dropped nearly 9%. There was also news that Cathie Wood's ARK Investment Fund had purchased Reddit shares the day before.

Best Buy's stock rose more than 1% following JP Morgan's upgrade of its investment rating to 'overweight.'

It was also reported that the merger between 'Trump Media & Technology Group (TMTG),' the parent company of the social media platform 'Truth Social' founded by former President Donald Trump, and the special purpose acquisition company (SPAC) Digital World Acquisition Corp. (DWAC) was approved. Following this news, DWAC's stock fell more than 13%.

Among the 11 sectors within the S&P 500 index, telecommunications, technology, and utilities stocks rose, while the other eight sectors all declined. Real estate and financial stocks fell more than 1%, and consumer discretionary, materials, and consumer staples stocks showed weakness.