Tech giants drive Nasdaq and S&P 500 rebound, semiconductor index ends eight-day losing streak

Huo Xing Finance reports that on October 20, according to BIT (bit.com) market data, U.S. tech stocks rebounded on Monday, with the Nasdaq 100 rising 1.2%, the S&P 500 closing up about 0.4%, and the Dow Jones slightly lower. The semiconductor index ended an eight-day losing streak, having previously set the longest consecutive decline since October 2008. Among individual stocks, Amazon closed up 5%, SanDisk rose 5.5%, and SK Hynix gained nearly 5%. Buying pressure in the AI and chip sectors was concentrated among the seven major tech giants, but some stocks failed to hold their gains. CoreWeave surged over 7% after Goldman Sachs upgraded it to a buy rating, but later retraced those gains, ultimately closing down about 0.4%, near last Friday’s low. Its bond spread for the 2032 maturity remains around 1,000 basis points, as credit spreads in the data center sector continue to widen, reaching record highs for hyperscale cloud-related debt. Goldman Sachs’ trading desk noted that overall market sentiment remained cautious today, with trading activity scoring only 3 out of 10. Long-term funds favored buying in consumer, macro, and financial sectors, while hedge funds were net sellers, primarily exiting positions in consumer goods, raw materials, and technology, media, and telecommunications. The S&P 500 regained its 50-day moving average but failed to sustain a meaningful upward breakout. In oil markets, rising tensions in the Middle East drove U.S. crude oil prices up for an eighth consecutive day. Iran stated it has “no choice” but to assert control over the Strait of Hormuz. The November WTI crude contract rose approximately 2.3% to close at $103.78, while the December Brent crude contract breached $110. The combination of rising oil prices and an expected $25 billion in investment-grade bond issuances this week pushed the 10-year U.S. Treasury yield up by approximately 5 to 7 basis points to 5.14%.