Nasdaq and S&P 500 close higher as tech stocks rally, Dow slips

The Nasdaq and S&P 500 pushed higher on the backs of surging technology stocks, while the Dow Jones Industrial Average slid lower. The split performance underscores a deepening sector rotation that has defined trading in recent weeks, with investors piling into growth names and largely shrugging off the kind of macro headwinds that tend to hammer industrials and financials. The divergence isn’t subtle. The Nasdaq posted its strongest weekly performance since April during the week ending August 8, climbing more than 2.6% in the prior session alone. The S&P 500 rode that same momentum to a record high, gaining 1.8%. The Dow, meanwhile, has struggled to keep pace despite briefly touching its own record at 53,178 after a nearly 700-point rally on August 3. Tech’s resilience, the Dow’s drag What’s driving the gap comes down to portfolio composition. The Nasdaq and S&P 500 lean heavily on mega-cap tech and semiconductor stocks, sectors that have been supercharged by persistent optimism around artificial intelligence and a string of corporate earnings that continue to beat expectations. The Dow, by contrast, carries significantly more weight in industrials, financials, and ene...