Nasdaq index broke 10,000 points mark this month and hit a new record of 10,131.37 points on Tuesday for the first time in history as big tech stocks have been on a robust upside momentum despite economic meltdown and business disruptions due to social distancing practices.
The Nasdaq Composite has reported 21 closing records since the beginning of this year.
The tech-heavy index soared in the past eight straight sessions as investors are showing confidence in big tech stocks upside potential. Meanwhile, the broader market index S&P 500 and Dow Jones also surged more than 40% since bottoming in March.
Big tech stocks like Apple, Facebook, Alphabet, Amazon, and Microsoft are has crossed previous all-time highs. Amazon stock price has outperformed the rest of tech stocks with 50% rally in the past six months, while Microsoft is second on the list amid 27% upside during the same period. Amazon and Microsoft stock price has reached the new record level this month.
Although Apple faced business disruption and store closures in the past couple of months due to lockdowns, its shares still managed to hit a new all-time high. Its shares are currently trading around $360, up 26% in the last six months.
Facebook shares, on the other hand, recovered strongly from March low amid massive user’s growth due to staying at home policies in the first quarter, but the stock misses the rally in the past couple of weeks. This is due to Trump’s strategy of making new legislation against social media platforms. Trump says big social media platforms are supporting left-wing people. Facebook shares surged 17% in the past six months.
Trumps tweets over China has added to the sentiments. The President tweeted that the accord was “fully intact” and said he hoped Beijing would live up to its agreements in the deal.