Nasdaq Hits Record High Amid Dow, S&P 500 Declines

On Thursday, August 7, 2025, the Nasdaq Composite surged to a new all-time high driven by strong performance from mega-cap technology stocks, exemplified by a 5.1% rally in Apple shares following a $100 billion U.S. investment announcement. In contrast, the Dow Jones Industrial Average and the S&P 500 experienced declines or modest gains, reflecting investor concerns over President Donald Trump's aggressive global tariff policies and broader economic uncertainties. The market showed a clear divergence, with the tech sector buoyed by optimism about innovation and potential Federal Reserve interest rate cuts, while industrial and other sectors faced pressures from trade tensions and inflation worries. Despite initial volatility during the trading session, the Nasdaq recovered to close near record levels, signaling sustained confidence in growth stocks. This mixed market performance underscores the ongoing tension between optimism for technological growth and caution regarding geopolitical and economic headwinds. Investors are closely watching the implications of Trump's trade policies alongside economic data such as rising jobless claims, which add complexity to the market outlook.