Stock Market Update: Nvidia and AI Rally Stalls, Stocks Stagnant

Money | June 21, 2024, 12:24 p.m.

US stocks experienced a slight dip on Friday as the tech-led rally showed signs of fatigue. The S&P 500 remained unchanged, while the Nasdaq Composite gained just 0.2% and the Dow Jones slipped below the flatline. The recent dip in these indices marked a notable anomaly after weeks of upward momentum. The rally, fueled by AI, has been largely driven by Nvidia, which briefly became the world's most valuable company. However, after a loss on Thursday, Nvidia was down more than 1% on Friday. Investors are now closely monitoring the broader US economy and path for interest rates, with speculation around a potential rate cut in September. Despite the dip on Friday, stocks such as Gilead and Nike showed gains. Overall, the market is experiencing a slight cooling off after a strong rally earlier in the week.