Nasdaq-100 up 1.1% on Tech Trading While Dow Sets Record High

Quick overview

The Dow Jones remained near a record high on Monday after the long holiday weekend, while the Nasdaq Composite gained 1.1% thanks to broadly positive technology stocks.

The S&P 500 added 0.4% at the start of the week, well behind the Nasdaq’s more than 1% gain, while the Dow Jones remained mostly flat. Trading started off strong on Monday after the prolonged closure for the Independence Day weekend. Tech stocks led gains with a 4% increase from Marvell Technology (MRVL) and 4.4% increase from Teradyne.

Both of those stocks fell sharply on Thursday, and their Monday gains provided only partial recovery. Throughout last week, technology stocks fared poorly and market sentiment plummeted. Investors are worried that capital expenditures are getting out of hand and are vastly outpacing profits for major tech companies.

Dow Hits New Record High

The Dow Jones Industrial Average continues to set fresh records this year. Last week, the index advanced around 2% and inched closer to 53,000. The index stayed close to its Thursday high as the market reopened on Monday, and it is possible that it will continue to climb throughout the week.

The latest jobs report was weaker than expected and dashed expectations of an interest rate hike. The news allowed the Dow to gain 400 points last week and set a new record high. The Dow has fared better than the other leading U.S. stock indices- the Nasdaq and S&P 500- in recent weeks since it does not rely as heavily on technology stocks. Those tech sector stocks have been volatile lately, pushing traders to more reliable futures that make up the Dow Jones.

Last week, the Nasdaq climbed 2%, and the S&P 500 gained 1.8%, but they may not hold onto those gains. Leading tech sector stocks are swinging wildly between highs and lows and investors reassess which stocks may be overvalued and which ones may drop off as capex fears take center stage.

Semiconductor Futures Slip

Throughout 2026, the largest gains on the stock market have been made by chip or semiconductor stocks. These include Marvell (MRVL), Advanced Micro Devices (AMD), Micron Technology (MU), and Nvidia (NVDA). A strong indicator of where these stocks are heading is by using the VanEck Semiconductor ETF (SMH). This index tracks the twenty-five most prominent chip stocks, and it recorded a loss of 3.2% last week. That marks two consecutive weeks of losses.

The market is moving towards other stock sectors with a more reliable track record now. Healthcare, financial, and food industry stocks are all climbing as investors shift their focus. However, the chip sector is not likely to stay down for long. Monday’s gains across that sector show that there are signs of recovery, and the rapidly growing AI market still has plenty of life in it as it drives these stocks through highs and lows.

The next important indicator for the market is scheduled for Wednesday when new Chairman Kevin Warsh will lead the Federal Reserve in his first meeting. While the Fed is unlikely to issue new rate cuts, important policy will be discussed that will set the tone for Warsh’s tenure moving forward.

ABOUT THE AUTHOR See More

Timothy St. John

Financial Writer - European & US Desks

Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.

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