Report produced by Yahaira Jacquez
The Dow Jones Industrial Average ended at a record high on Wednesday, driven higher by energy and other economically sensitive sectors, while the Nasdaq closed in red as megacap growth stocks slipped.
The Dow ended at a record high on Wednesday after Treasury Secretary Janet Yellen said she saw no inflation problem brewing, walking back comments from a day earlier that rate increases may be needed to stop the economy from overheating.
The Dow average rose nearly 100 points to a new high while the S&P was nearly flat and the tech-heavy Nasdaq fell another roughly 0.4% after a sharp decline in the previous session.
Eric Diton, president of The Wealth Alliance, says growth stocks will continue to feel the pressure. "Big tech is cooling. They came out with unbelievable earnings, those stocks normally would've been up 20-30%. Google's up but most of big tech is coming down. Value is coming back with a vengeance and the pricier stocks are coming back to earth."
Peloton - the exercise equipment maker whose stock soared during lockdowns - dropped, hitting a seven-month low after it announced it would recall its treadmills amid reports of multiple injuries and the death of a child in an accident.
Meanwhile -- Hollywood star Jessica Alba's Honest Company, which sells baby and beauty products, shined on Wall Street Wednesday as it made its market debut on the Nasdaq.
Shares of the company, co-founded by Alba in 2011, ended the day up more than 40 percent than the IPO price. Reporting after the bell, Uber said ride-hail bookings were flat from the previous quarter but reported sustained growth in its food-delivery business.
That growth helped the company more than triple its revenue from last year in its delivery segment.