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Trump Media shares fall after Donald Trump is found guilty
The US stock market ended a five-week positive streak as investors feared that slowing economic momentum could impact the earnings outlook for US companies.
The US economy grew at an annualized rate of 1.3% in the first quarter, marking a downward revision compared to the previous estimate of 1.6%.
The Fed’s preferred inflation measure remained stable in April, easing some concerns on the resumption of pressure on prices. However, slowing spending and income growth also signaled weakening consumer health, while Chicago’s business activity indicator fell to its lowest level since May 2020, raising concerns about a potential slowdown later in the year. cycle.
The technology sector was the worst performer of the week, while utilities outperformed as investors shifted their focus to defensive sectors.
Trump shares fall
Shares of Trump Media & Technology Group fell after former President Donald Trump was found guilty of 34 charges related to falsified business records. Despite strong support from some investors, concerns about the company’s financial performance, and a decline in user engagement on Truth Social impacted investor sentiment.
Nvidia valuation soars
Nvidia’s market capitalization rose to $2.805 trillion, surpassing the combined value of Tesla, Exxon, Walmart, Costco, Netflix, Intel, Disney and Pepsi. The company’s shares reached new highs due to increased investor confidence, in part driven by Nvidia’s advances in AI technology and the potential use of its products in Elon Musk’s supercomputing projects.
Record house prices
US home prices reached all-time highs in March 2024 with an annual increase of 7.4%, marking the fastest growth rate in more than a year. San Diego led the way with an 11.1% annual gain, followed by New York and Cleveland.
Stocks Outperforming Nvidia
Nvidia shares have risen 186% over the past year, driven by demand for AI chips. Seven other US stocks, including Vera Therapeutics and MoneyLion, more than doubled Nvidia’s returns. These companies have benefited from advances in biotechnology, fintech and retail, presenting diversified industry growth.
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Benzinga is a financial news and data company based in Detroit.