Mixed Performance in US Markets as Dow Jones Rises and Nasdaq Falls.. Tesla Exits Trillion-Dollar Club
US markets witnessed a mixed performance on Tuesday, the first session of July, as the Dow Jones Industrial Average rose by 0.9% (equivalent to 400 points), marking its fourth consecutive daily gain to reach its highest daily close in over 4 months. This performance was supported by the rise of healthcare sector stocks, such as UnitedHealth and Amgen.
On the other hand, the S&P 500 index fell by 0.1%, relinquishing its record highs, while the Nasdaq Composite index dropped by 0.8%, ending its six consecutive daily gains. Additionally, the NYFANG index, which includes 10 major technology companies, declined by over 1%.
Tesla Loses $55 Billion and Exits Trillion-Dollar Club
Tesla's stock faced sharp pressures, dropping by over 5% to close at its lowest level in 3 weeks, resulting in the company losing $55 billion of its market value in one session and exiting the trillion-dollar club once again. This decline coincided with renewed tensions between CEO Elon Musk and US President Donald Trump, who threatened to cut federal support for Musk's companies in response to the latter's criticisms of Trump's tax policies and spending bill.
Trade Tensions and Tax Decisions Impact Investor Sentiment
The session revealed investors' reaction to the approval of Trump's tax package by the US Senate, weighing the stimulative effects of the plan against its trillion-dollar cost. Trump also announced that he "is not thinking of extending the July 9 deadline for negotiating trade agreements with other countries," further escalating trade tensions.
Strong Rise in Macau Casino Stocks
On another note, major Macau casino operators' stocks saw a significant increase after the city reported a 19% year-on-year increase in gaming revenues for June, surpassing analysts' expectations. Shares of Las Vegas Sands jumped by 9% to a 5-month high, while Wynn Resorts rose by 9% to reach its highest level in over 8 months.
