Bullish investors drove Tesla’s market value roughly equal to that of JPMorgan Chase (JPM) and Citigroup (C) — combined.
August 24th 2020 – The NASDAQ Composite stock market index and The S&P 500 stock market index both closed at all-time highs on Monday, August 24, 2020 – the second consecutive trading day that each market index reached a record closing. – File Photo by: zz/STRF/STAR MAX/IPx 2020 6/14/20 Atmosphere in and around Wall Street and The New York Stock Exchange in the Financial District of Lower Manhattan, New York City on June 14, 2020 during the coronavirus pandemic amid the aftermath of protests, demonstrations, riots, vandalism and destruction of property in response to the death of George Floyd who died while being arrested by police officers in Minneapolis, Minnesota on May 25th. (NYC)
Apple’s (AAPL) $2 trillion market cap recently surpassed that of the 2,000 companies that make up the small-cap Russell 2000. And the S&P 500’s forward market valuation climbed to levels unseen since the dot-com bubble.
The runaway train on Wall Street was finally derailed Thursday, when the Dow plummeted as much as 1,026 points, or 3.5%. It closed down 808 points, or 2.8%.
The Nasdaq tumbled as much as 5.8% as pandemic winners like Apple, Zoom (ZM) and Peloton (PTON) tanked. Even mighty Amazon (AMZN) dropped 5%, though it remains up an incredible 82% on the year.
Now, the question is whether the rally will quickly get back on track or if this is the start of a bigger pullback in the stock market.
One warning sign suggesting more turmoil could be on the way is unusual movements in the closely-watched VIX volatility gauge.
Source; CNN
