Nasdaq Composite Approaching Record Highs

An Nvidia-led rally is propelling the Nasdaq Composite towards record territory, with the tech-heavy index inching closer to its first record close in 27 months.

Nasdaq Composite Approaches All-Time High

The Nasdaq Composite (COMP), which consists of most stocks trading on the Nasdaq stock exchange and is one of the world's most closely monitored benchmarks, soared 346 points or 2.2% to 15,927 on Thursday morning. This puts it in reach of its record close of 16,057.44 achieved on Nov. 19, 2021.

Breaking Records After Long Drought

Should the Nasdaq finish above this threshold on Thursday, it will break a dry spell of 564 trading days without reaching a record close, according to Dow Jones Market Data. This marks the longest stretch since a period lasting 3,801 trading days from March 2000 to April 2015 following the burst of the dot-com bubble.

All-Time High Intraday Peak

The Nasdaq Composite's all-time intraday peak occurred on Nov. 22, 2021, at 16,212.23.

Records Across U.S. Stock Markets

While the Nasdaq Composite makes strides towards new highs, the S&P 500 (SPX) and Dow Jones Industrial Average (DJIA), the other two major U.S. stock indexes, have been setting a series of records in early 2024.

Nvidia Corp. Shares Skyrocket Post Blowout Earnings

Nvidia Corp. NVDA, +15.04% witnessed a phenomenal surge of over 15% following the announcement of their exceptional earnings late Wednesday. The results surpassed already high expectations for the producer of AI semiconductors. Throughout 2024, Nvidia shares have soared by nearly 60%, marking a remarkable 275% increase over the past year. This surge has been fueled by an upward trend dominated by a select group of tech giants poised to prosper from advancements in artificial intelligence.

Revitalizing Technology Stocks Worldwide

The remarkable Nvidia results have injected newfound enthusiasm into the technology sector on a global scale. This resurgence has propelled Japan’s Nikkei 225 stock average JP:NIK to its first record close since 1989. A record-breaking achievement at this point would essentially dispel any lingering uncertainties surrounding the resurgence of a bullish market for the Nasdaq Composite.

A new era for the Nasdaq

The Nasdaq’s prolonged dry spell following the burst of the tech bubble in 2000 made many investors cautious about predicting a return of the bull market after the index’s recent decline. Despite experiencing three rallies of 40% or more during the bear market that followed the dot-com crash, none of them proved to be the start of a sustained bull market, as highlighted by analysts at Baird Private Wealth Management.