Despite some negative economic reports in previous weeks, the US equity markets continued to rally, as new home sales data released today beat analyst forecasts. The recent surge in the markets has caused the NASDAQ Composite Index to touch a 13-year high. In addition, the price of gold has remained stable at $1,325 an ounce despite recent fluctuations in currencies and negative reports over the past few days about cyber-attacks on the virtual currency bitcoin, resulting in a huge drop-off in value. Precious metals stocks, on the other hand, were among the biggest decliners.
“With new home sales beating forecasts and strong earnings results, the U.S. equity market has largely retraced its January losses,” said David Krein, Managing Director of NASDAQ OMX Global Indexes. “Among industry sectors, the NASDAQ Clean Edge Green Energy Index was the biggest mover this week, up 5.44%, bolstered by a huge spike in shares of Tesla.”
INDEX MOVES THIS WEEK
- NASDAQ BIOTECHNOLOGY INDEX (NBI) was up 1.54% since Friday’s close as of noon on Wednesday of this week. Year-to-date, the index is up 20%.
- PHLX GOLD/SILVER SECTOR (XAU) was down 3.18% from the most recent Friday close. The price of oil is currently $102 per barrel, up around $6 from the end of January.
- NASDAQ CLEAN EDGE GREEN ENERGY (CELS) and NASDAQ OMX GLOBAL AUTOMOBILE (QAUTO) both have TESLA as a core holding. Both indexes are up this week with returns of 5.44% and 0.73%, respectively.
INDEX TO WATCH
- Some negative earnings releases have come out over the last couple of weeks in the solar space. Look for activity in this sector by tracking NASDAQ OMX Solar (GRNSOLAR), which is up a whopping 110% year-over-year.