NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Tests New Highs As Qualcomm Soars 13%

SP500 Gains Ground As Traders Remain Bullish Ahead Of The Weekend

SP500 is moving higher despite the disappointing Michigan Consumer Sentiment report. The report indicated that Michigan Consumer Sentiment declined from 49.8 in April to 44.8 in June, compared to analyst forecast of 48.2.

As a result, Michigan Consumer Sentiment tested decade lows. It should be noted that Consumer Sentiment has not been that low during the coronavirus crisis.

According to the report, 57% of consumers spontaneously mentioned that high prices were eroding their personal finances, compared to 50% in April. The report also noted that consumers were worried that inflation will increase beyond fuel prices.

Year-ahead inflation expectations increased from 4.7% to 4.8%, while long-run inflation expectations jumped from 3.5% to 3.9%.

Treasury yields moved higher as traders bet that Fed would raise rates to fight inflation. However, rising Treasury yields did not put pressure on stocks.

Oil prices moved lower amid signs of progress in U.S. – Iran negotitions. WTI oil declined towards the $96.00 level, while Brent oil pulled back towards $103.00.

Most market sectors gained ground in today’s trading session. Industrials, technology, and healthcare stocks were among the leaders today.

The nearest resistance level for SP500 is located in the 7515 – 7525 range. A move above the 7525 level will push SP500 towards the 7550 level. RSI remains in the moderate territory, so there is plenty of room to gain momentum in case the right catalysts emerge.

NASDAQ Moves Higher, Supported By Strong Demand For AI-Related Stocks

NASDAQ gains ground as traders stay focused on AI-related stocks. Qualcomm, which is up by 13%, is the best performer in the NASDAQ index today. The stock rallied as traders focused on the company’s partnership with Stellantis to build the next-gen vehicles.

Other chip-related stocks have also been among the biggest gainers in the NASDAQ index. It should be noted that traders have started to buy software stocks, which have been under strong pressure in 2026.

Traders worried that AI will destroy the business model of software companies. Previous rebounds were followed by strong pullbacks, but it looks that some traders are ready to buy the dip.

NASDAQ moved towards the key resistance level at 29,700 – 29,750. If NASDAQ manages to settle above the 29,750 level, it will gain additional upside momentum and move towards the psychologically important 30,000 level.

Dow Jones Tests Historic Highs

Dow Jones tested historic highs as rally continued. Merck, which was up by 5.6%, was the biggest gainer in the Dow Jones index today. The stock rallied as traders reacted to a positive EU opinion for cancer therapy.

NVIDIA, which was down by -1.6%, was the biggest loser in the index. The stock continued to move away from historic highs as traders took profits after the recent earnings report.

Dow Jones moved above the resistance level at 50,400 – 50,500 and made an attempt to settle above the 50,800 level. In case Dow Jones climbs above 50,800, it will head towards the 51,000 level. It should be noted that RSI is in the overbought territory, so the risks of a rebound are increasing.

For a look at all of today’s economic events, check out our economic calendar.