The week-long consolidation period in the S&P 500 index has been resolved to the upside for now. The buyers on weakness over the last week had to change gears and buy into a rising market which is much more difficult.
In premarket trading, the index found support ahead of Monday’s low and spent most of the premarket session in the green. During the regular session, the index found support ahead of Monday’s close off the opening bell and mounted an impressive rally.
Once the index established a strong bid over Monday’s high, the pace of the rally accelerated. The index was able to post a new closing high for the rebound by gaining 52.25 handles to close at 4010.25. That bested the former closing high for the move (4000.25) by a nice margin.
Nvidia Corp (NASDAQ: NVDA) returned to having big moves, this time on the upside, and was the biggest winner of the top components of the index. For the session, the issue gained $7.21 or 4.7% to close at $160.38.
That was over three times the cash index’s gain of 1.32%.
The biggest loser of the top components was the smaller gainer. That was Amazon.com Inc. (NASDAQ: AMZN) which added $0.74 or 0.8% to close at $93.20.
PreMarket Prep Stock Of The Day: Disney Co. (NYSE: DIS)
Bull vs. bear segment from Monday’s show following the return of Bog Iger as CEO. Read more on DIS here.