The Nasdaq 100 (NDX) is back in the green after reversing its early morning losses. The technology index opened lower by 0.41% on Thursday.
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NDX received a boost after Reuters reported that the U.S. and United Arab Emirates (UAE) have finalized a technology framework agreement. The agreement could likely include a deal that will send 500,000 Nvidia (NVDA) chips to the UAE each year from 2025 to 2027.
At the same time, some Trump officials are concerned that the U.S. could deteriorate its position as the global AI leader by sharing its chips so freely. Other worries include China benefitting from chips sent to the Middle East.
In broader news, the April producer price index (PPI) report showed a 0.5% month-over-month fall, well below the expectation for a 0.2% jump. As a result, traders have now assigned higher odds of a 25 basis point cut to the federal funds rate at the July Fed meeting given another key metric indicating falling inflation.
The Nasdaq 100 is up by 0.11% at the time of writing.
Which Stocks are Moving the Nasdaq 100?
Let’s take a look at TipRank’s Nasdaq 100 Heatmap, which illustrates the stocks that have contributed to the index’s price action.
Consumer cyclical stocks are providing downside to the index, with Amazon (AMZN) and Tesla (TSLA) falling lower. This is likely due to the two company’s ties to China, with Walmart (WMT) warning this morning that it could hike prices as a result of the tariffs. Meanwhile, healthcare, industrials, and consumer defense stocks are leading the pack today.
QQQ Stock Moves Higher with the Nasdaq 100
The Invesco QQQ Trust (QQQ) is an exchange-traded fund (ETF) designed to track the performance of the Nasdaq 100.
Wall Street expects QQQ stock to rise higher. During the past three months, analysts have issued an average QQQ price target of $566.29 for the stocks within the index, implying upside of 9.02% from current prices. The 102 stocks in the QQQ carry 87 buy ratings, 15 hold ratings, and zero sell ratings.