Tesla Stock Boosted by AI, Self-Driving Optimism | Global News Avenue

Major U.S. stock indexes mixed Start trading week ahead of the Federal Reserve’s key interest rate decision on Wednesday.

Although traders widely expected the central bank to announced another cut On the borrowing costs front, comments from Federal Reserve Chairman Jerome Powell and a slew of other economic data are likely to be in focus this week as investors aim to gauge the economy’s trajectory and future policy moves.

The S&P 500 rose 0.4%, while strength in the communications and technology sectors pushed the Nasdaq up 1.2% to a new closing high. The Dow fell 0.3%.

After the surge $1 trillion market capitalization Broadcom milestone Friday (AVGO) shares continued to rise this week, soaring 11.2%, hitting another all-time high and leading the S&P 500 higher. Chipmakers reported Quarterly sales and profits beat expectations Artificial intelligence (AI) sales were strong last week. The momentum continued on Monday when Bernstein analysts named Broadcom one of their top semiconductor companies, along with industry giant Nvidia.NVDA).

Tesla’s (TeslaShares of the company rose 6.1% to a record high as Wedbush analysts discussed the potential benefits of artificial intelligence and fully autonomous driving (FSD) technology for automakers under the incoming presidential administration. Wedbush estimated that Tesla’s full self-driving and artificial intelligence opportunities alone are worth $1 trillion and expressed confidence that the Trump White House will streamline the approval process for these initiatives.

Micron Technology stock (exist) jumped 5.6% as a maker of data storage chips Ready to release quarterly results Wednesday afternoon. Consensus forecasts are for strong year-over-year sales and profit growth. In early December, Micron Received approximately $6 billion in grants according to Federal CHIPS Act Producing semiconductors in the United States

Ultramicrocomputer (SMCI) shares plummeted 8.3%, the largest decline among S&P 500 stocks. Late last week, AMD announced that it would be Among the three stocks eliminated from the Nasdaq 100 as part of the influential index’s annual reorganization. also, Bloomberg It was reported on Friday that Super Micro has hired investment banking advisory firm Evercore (Avery) to help potential financing.

Shares in the operating company Pharmacy Benefit Management (PBM) Business shares fell after President-elect Donald Trump said eliminating the so-called “middle man” could be a way to lower the cost of prescription drugs. Lawmakers introduced a bipartisan bill last week that would require insurers and PBMs to separate from their pharmaceutical operations. CVS Health (CVS) shares fell 5.6% on Monday, while major health insurance companies with PBM businesses also fell.

Crude oil prices retreated from recent highs on lower-than-expected Chinese consumer spending data and ahead of this week’s Federal Reserve interest rate announcement, weighing on oil and gas stocks. Phillips 66 (PSXThe company’s shares fell 5.2% after the refiner announced its 2025 capital plan and an agreement to sell its interest in a natural gas pipeline in Texas. Marathon Petroleum (multipoint control) shares fell 5.1%.