Each of the large-cap indices rose more than 1.0% in this news-heavy week, with the S&P 500 (+1.4%), Dow Jones Industrial Average (+1.2%), and Nasdaq 100 (+1.4%) hitting new all-time highs. The Nasdaq Composite increased 1.1%, and the small-cap Russell 2000 increased 0.9%.
The S&P 500 went through some mild swings this week with technical and quarter-end rebalancing factors in effect, but it ultimately ended with a 1.6% gain. The Dow Jones Industrial Average (+1.4%) also closed higher, while the Nasdaq Composite (-0.6%) and Russell 2000 (-2.9%) lost ground.
The S&P 500 (-0.8%), Dow Jones Industrial Average (-0.5%), and Russell 2000 (-2.8%) set intraday and closing record highs in the first half of the week, but they eventually ran into selling pressure as long-term interest rates continued to move higher. The Nasdaq Composite declined 0.8%, while the Russell 2000 diverged with a sharp 3% decline.
The Dow Jones Industrial Average set intraday record highs every day this week, ultimately rising 4.1% and closing at a record high. The Russell 2000 (+7.3%) and S&P 500 (+2.6%) set new highs for the first time in a month while the Nasdaq Composite (+3.1%) dug itself out of correction territory with a 3% gain.
The S&P 500 increased 0.8% in this volatile trading week. The Dow Jones Industrial Average outperformed with a 1.8% gain, while the Nasdaq Composite (-2.1%) and Russell 2000 (-0.4%) continued to cool off from overheated conditions. Higher interest rates were blamed for the underperformance of the Nasdaq, which fell 2.1%.
It was a good week for the financial and energy stocks, as growth/inflation expectations increased, but it wasn't so great for the growth stocks that were previously supported by really low-interest rates.
The market remained supported by a fear of missing out on further gains, optimism surrounding another fiscal stimulus bill, better-than-expected earnings reports, and increasing COVID-19 vaccination rates, and decreasing infection/hospitalization rates.
The stock market rebounded swiftly from last week's decline, with the S&P 500 finishing higher in all five sessions and ending the week with a 4.7% weekly gain. The Russell 2000 gained 7.7%, the Nasdaq Composite gained 6.0%, and the Dow Jones Industrial Average gained 3.9%.
To begin, GameStop (GME) entered the week at $65 per share and peaked at $483 per share later in the week, as it becomes the poster child for the short-squeeze mania/rebellion against short sellers. Things got so wild that brokerage firms restricted trading activity on heavily-shorted stocks like GME, which sent these stocks lower and drew the ire of many market participants.
The shortened trading week featured renewed strength in the mega-cap stocks, which drove the outperformance of the Nasdaq Composite (+4.2%) and lifted the S&P 500 (+1.9%) and Dow Jones Industrial Average (+0.6%) in the process. Including the Russell 2000 (+2.2%), each index set new record highs.
The stock market faced some selling pressure during the second full week of January, but not before the Dow and Nasdaq reached fresh record highs. The two indices surrendered a respective 0.9% and 1.5% for the week while the S&P 500 lost 1.5%. Small caps outperformed notably, allowing the Russell 2000 (+1.5%) to finish the week with a gain.
The record-setting run that ended 2020 carried over to the start of 2021 as each of the major indices set intraday and closing record highs.
The large-cap indices set fresh intraday and closing record highs in the last week of the year. The S&P 500 (+1.4%) and Dow Jones Industrial Average (+1.4%) both increased 1.4%, and the Nasdaq Composite gained 0.7%. The small-cap Russell 2000, however, pulled back from record territory with a 1.5% decline.
Each of the major indices set fresh all-time highs this week in a continuation of the market's positive trend.
Airbnb (ABNB) more than doubled in its IPO, DoorDash (DASH) surged 85% in its first day of trading, and Tesla (TSLA) sold $5 billion of common stock through an "at-the-market" offering program.