Dow Jones Hits Record 51,078.88 as Nvidia Surges 6.2%, June 02

The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite all closed at record highs on Monday, June 1. Nvidia led the rally, jumping 6.2% after unveiling a new processor for personal computers. Oil prices trimmed gains after President Trump signaled ongoing diplomatic talks with Iran, easing inflation concerns that had weighed on markets earlier in the day.

Three Indexes Reach New Records

The Dow Jones Industrial Average rose 46.42 points to close at 51,078.88, a gain of 0.09%. The S&P 500 added 19.89 points to 7,599.95, up 0.26%. The Nasdaq Composite climbed 114.19 points to 27,086.81, a 0.42% increase. All three indexes hit intraday highs and closed at record levels. Meyka rates the Dow with a C+ grade and a 12-month forecast of 52,630.53, suggesting limited upside from current levels.

Nvidia Leads Tech Sector Higher

Nvidia shares jumped 6.26% to $224.36 after CEO Jensen Huang announced the RTX Spark Superchip at the Computex Taipei conference. The new processor will launch this fall in laptops and desktops from Dell, HP, and Lenovo. Dell rose 10%, HP gained 8%, and Microsoft climbed 2% on the announcement. Arm Holdings soared 17% on the news. Intel fell 2% as the new chip challenges its long-standing PC market dominance. Meyka rates Nvidia an A grade with a 12-month price target of $244.00, 8.8% above Monday’s close.

Oil Prices Trim Gains on Peace Talk Signals

West Texas Intermediate crude pared gains to trade just above $92 per barrel after President Trump posted on social media about a productive call with Israeli Prime Minister Benjamin Netanyahu. Brent crude settled near $95 per barrel. Earlier, oil had surged 5.93% on Monday amid reports that Iran would shut the Strait of Hormuz. Trump later posted that talks with Iran were continuing at a rapid pace, easing inflation concerns that had pressured small-cap stocks and bond yields during the morning session.

What This Means for Investors

With Meyka rating the S&P 500 a C+ and the Nasdaq a C+, both indexes show overbought technical signals. The RSI for the S&P 500 stands at 74.85 and the Nasdaq at 75.27, both in overbought territory. Market gains remain concentrated in AI-related stocks, creating concentration risk. Investors should watch Friday’s nonfarm payrolls report for clues about labor market strength and the Federal Reserve’s interest rate path.

Final Thoughts

US stocks closed at records on June 1 as Nvidia’s new AI chip drove tech gains and peace talk signals eased oil concerns. Meyka’s C+ ratings on the broad indexes and overbought technical readings suggest caution despite the rally.

FAQs

Disclaimer:

The content shared by Meyka AI PTY LTD is solely for research and informational purposes.  Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.