US OPEN: Tech stocks recover as bond yields retreat

• Treasury Yields retreat to 1.68%, Nasdaq gains 0.8%
• AstraZeneca (AZN.US) vaccine was 79% effective against symptomatic Covid-19 according to recent study
• Cathie Wood's Ark Invest expects Tesla stock price to reach $3,000 in 2025

US indices launched the first session of the week in mixed moods.  Nasdaq 100 jumped 0.8%, S&P 500 is trading flat while Dow Jones  fell 0.50%. The yield on the benchmark 10-year Treasury note fell to 1.68% which helped tech stocks, however it still remains close to a 14-month high of 1.75% reached last week. On the data front, the Chicago Fed National Activity Index fell to a 10-month low.

US500 – sellers failed to break below support zone around 3895 pts which is additionally strengthened by 50 SMA ( green line) and 200 SMA( redline). If the current sentiment prevails, upward move may be extended towards 3931.6 pts handle or even 3980.8 pts level where all-time highs are located. On the other hand, should a break below the aforementioned support area occur, then downward move may accelerate towards next support at $3850.7 pts. Source: xStation5

AstraZeneca (AZN.US) stock rose more than 2% in premarket after recent study showed its Covid-19 vaccine had 79% efficacy in preventing symptomatic illness, 100% effectiveness against critical disease and hospitalization, and did not pose a higher risk of blood clots.

AstraZeneca (AZN.US) stock launched today’s session higher and price is approaching major resistance are which consists of 50 SMA ( green line) and upper limit of the descending channel. Should a break above occur, then upward move could be extended towards resistance at$53.00 which coincides with 200 SMA ( red line). However if sellers will manage to regain control, then another downward impulse could  be launched. Nearest support to watch lies at $46.89. Source: xStation5

PepsiCo (PEP.US) shares gained 1% in the premarket after Barclays upgraded it to “overweight” from “equal weight.” Barclays sees further potential for accelerating revenue and profit growth despite recent underperformance. 

Tesla (TSLA.US) according to Cathie Wood from ARK Invest TESLA stock will reach $3,000  level in 2025. If that prediction pans out, Tesla would be worth roughly $3.6 trillion. The shares of the electric car manufacturer rose 5.0% in premarket trading.

Royal Caribbean (RCL.US) is planning to restart some Caribbean cruises in June.  All crews members will be vaccinated, and adult guests will be required to be vaccinated as well. Children under 18 will need to show proof of a negative Covid test.