Tech's Counter-Punch
How $Apple(AAPL)$ 's mega-rally and renewed rate cut hopes invalidated the bearish case for the $NASDAQ(.IXIC)$ , leaving other indices behind.
Last week’s bearish weekly setup, which suggested potential downside, gave way to a bullish reversal this past week. The move was strong enough to invalidate the bearish structures in the tech-heavy NDX. However, this bullish confirmation is not yet as clear for the broader $S&P 500(.SPX)$ , and even less so for the $Dow Jones(.DJI)$ and small-caps $iShares Russell 2000 ETF(IWM)$ , which continue to lag.
The week's upward thrust was not a broad-based advance but rather a concentrated rally driven decisively by the technology sector, fueled by significant company-specific news and a favorable macroeconomic backdrop.
Leading the pack was Apple, which exploded with a +13.3% gain, its biggest weekly percentage jump since 2020. This major breakout was ignited by the announcement that Apple would invest an additional $100 billion in the U.S., raising its total commitment to $600 billion over the next four years. A move of this magnitude in one of the market's largest components has the power to single-handedly fuel a broader rally.
Adding to the tech bullishness, $NVIDIA(NVDA)$ posted a solid 5% gain for the week. The advance was fueled by news that the U.S. government has authorized the company to resume sales of its H20 AI chips to China. This decision allows NVIDIA to re-engage with a critical market while navigating complex export controls, providing a significant boost to its outlook.
Other tech giants added gains during the week as follows in this weekly heat map for the SPX components:
Underpinning the rally is the broader market narrative, which is increasingly discounting future Federal Reserve rate cuts. Bond market pricing now reflects expectations of the federal funds rate declining to around 3% by the end of 2026, with some financial institutions anticipating as many as four rate cuts. This dovish outlook on monetary policy is providing a supportive environment for risk assets.
For whom haven't open CBA can know more from below:
🏦 Open a CBA today and enjoy privileges of up to SGD 20,000 in trading limit with 0 commission. Trade SG, HK, US stocks as well as ETFs unlimitedly!
Find out more here：
Trade on a Cash Boost Account and enjoy up to 6 months of Commission-Free trading.
💰Join the TB Contra Telegram Group to Get $10 Trading Vouchers Now🎉
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
