Stocks Gain, Oil Jumps To $73, Tesla Tumbles As 2024 Sales Dip: What's Driving Markets Thursday?

Wall Street began the new year with modest gains, as major U.S. indices edged higher by midday trading in New York, aiming to recover from the prior session’s selloff.

The S&P 500 advanced 0.5%, while the tech-focused Nasdaq 100 rose 0.6%. Small-cap stocks led the charge, with the Russell 2000 climbing nearly 1%.

Energy-related stocks outperformed, buoyed by a surge in oil and natural gas prices. West Texas Intermediate (WTI) crude oil soared 2.4% to surpass $73 per barrel, marking its fourth consecutive session of gains. The rally followed Energy Information Administration (EIA) data showing a sixth straight weekly decline in U.S. commercial crude inventories.

Natural gas prices also gained over 2%, driven by heightened heating demand as arctic air swept across the U.S.

The broader commodities market was upbeat as well. Gold climbed 1.7%, and silver surged 2.4%. Longer-dated U.S. Treasury yields stayed high, with the 30-year Treasury note inching up 2 basis points to 4.80%.

Tesla was in the spotlight for disappointing results. The EV giant reported delivering 1.79 million vehicles in 2024, falling 1.1% short of its 2023 total of 1.81 million. Shares tumbled by over 5%, poised for the fifth straight session decline.

In cryptocurrency markets, Bitcoin BTC/USD sharply rebounded, jumping 2.9% to $97,000 and eyeing its third straight daily surge.

Thursday’s Performance In Major US Indices, ETFs

According to Benzinga Pro data:

• The SPDR S&P 500 ETF Trust SPY rose 0.4% to $587.90.
• The SPDR Dow Jones Industrial Average DIA was flat at $425.80.
• The tech-heavy Invesco QQQ Trust Series QQQ rose 0.5% to $513.20.
• The iShares Russell 2000 ETF IWM soared 0.8% to $222.81.
• The Energy Select Sector SPDR Fund XLE outperformed, up 1.6%; the Consumer Discretionary Select Sector SPDR Fund XLY lagged, down 0.5%.

Thursday’s Stock Movers

• Carvana Co. CVNA rose 1.6%, despite Hindenburg Research issue a short report revealing accounting tricks by the used-car dealer.
• Constellation Energy Corp. CEG surged nearly 7% after revealing it had secured a 10-year, $840 million contract to supply power to over 13 federal government agencies.
• Unity Software Inc. U saw its shares climb Thursday morning after investor Keith Gill, known as “Roaring Kitty,” made a cryptic social media post late Wednesday, as reported by media outlets. Unity’s stock surged 8%.
• SoFi Technologies Inc. SOFI dropped 6% after KBW downgraded the stock, citing concerns about its high valuation and aggressive financial targets.

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