Slight Recovery Tech Sector on Wall Street After the Sharp Price Drop

Stock markets in New York opened slightly higher on Tuesday. This showed some recovery, especially in the tech sector on Wall Street, which still fell hard on Monday.

 

Facebook was among the winners after having ended up in the negative a day earlier, partly due to the technology group’s worldwide social media failure.

Shortly after opening, the Dow-Jones index rose 0.2 percent to 34,081 points, and the broad-based S&P 500 climbed 0.3 percent to 4312 points. The technology gauge Nasdaq gained 0.4 percent to 14,308 points after losing 2.1 percent a day earlier.

Facebook advanced 0.3 percent. On Monday, the stock lost almost 5 percent in value. The hours-long outage affected Facebook and services such as Instagram and WhatsApp. Facebook has apologized to users. Other major tech funds such as Amazon, Apple, Microsoft and Google parent Alphabet posted pluses of up to 0.6 percent.

Tesla posted a price gain of 0.5 percent. A federal jury in San Francisco has ordered the electric car maker to pay $137 million in damages to a former black employee for dealing with workplace racism. The jury concluded that the company had failed to prevent the employee from being treated racially.

Soft drink and snack producer PepsiCo could also count on attention. PepsiCo has again raised its sales expectations in the current broken fiscal year, helped by reopening the hospitality industry, among others. However, the company is struggling with supply chain problems and higher material costs. Shares of PepsiCo rose 1.1 percent. Industry colleague Coca-Cola was raised 0.2 percent.

Electric vehicle builder Lordstown Motors received a piece of advice cut from investment bank Morgan Stanley and plunged 10 percent into the red. Morgan Stanley says the recent sale of a Lordstown plant in Ohio to Taiwan’s Foxconn has yielded much less than previously anticipated.

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