The tech sector remained positive for the entire day. It went up quickly in the morning, before falling back to only a slight gain. However, it recovered in the later hours, finishing 0.94% up for the day. It has now been up the past two days after a noticeably bearish showing on Friday. This was an important day for the technology sector as it seems as if it's facing a crucial turning point.
Since the start of May, investing in the tech sector has not been a great option in general. All the major tech stocks -- such as Apple (NASDAQ:AAPL), Google (NASDAQ:GOOG), Intel (NASDAQ:INTC), and Oracle (NYSE:ORCL) -- have lost significantly. Some smaller-cap stocks have also seen their price per share fall rapidly. Nokia (NYSE:NOK) is particularly important, as its price per share is now just 75% of what it was at the start of May, and 58% of what it was at the start of the year. However, as I have said, the tech sector seems as if it has bottomed out and might be due for a rebound.
The tech sector pushed the Nasdaq up as the index grew by 0.66%. The S&P 500 was also positive throughout the day, increasing by 0.57%. The Dow Jones' gain of 0.22% meant all three main indices were bullish today. However, the Dow could not find a clear direction as it fluctuated between negative and positive for most of the day before going on a bullish run later on.
In June, the smartphone and tablet market seems to be the most interesting industry to watch, as many different patent disputes are going before courts in various different nations or being settled behind closed doors. These rulings are likely to shape who controls the future of the lucrative industry. Apple and Nokia are the companies likely to benefit the most from this -- Apple because it has strong claims that other tablet companies have violated its patented designs, and Nokia because it has started to enforce its intellectual property rights. Consequently, both companies should benefit a lot over the next couple of months from the battle over control. Whatever the case, there will be some large settlement payments as most of these companies prefer not to have courts dictate what they can and cannot do or sell.
- JA Solar Holdings (NASDAQ:JASO), up 16.85%
- iSoftStone Holdings (NYSE:ISS), up 9.42%
- Jive Software (NASDAQ:JIVE), up 9.36% but down 0.07% after hours
- GT Advanced Technologies (GTAT), up 8.50%
- Suntech Power Holdings (NYSE:STP), up 7.79%
- Limelight Networks (NASDAQ:LLNW), down 12.59% and down 0.85% after hours
- Synacor (NASDAQ:SYNC), down 10.24% but up 0.27% after hours
- AVG Technologies NV (NYSE:AVG), down 5.72%
- iPass (NASDAQ:IPAS), down 5.65%
- Uniquiti Networks (NASDAQ:UBNT), down 5.46% but up 1.33% after hours
- Hewlett-Packard (NYSE:HPQ) has gone to court over a dispute with Oracle. HP is claiming $4 billion in damages as it claims Oracle hurt HP's clients by ending its support for Intel's Itanium chip. HP claims that its agreement with Oracle covered the support of Intel's chip and, consequently, Oracle should not have ended its support. Oracle, on the other hand, argues that HP is trying to force it to capitulate into lending its support to a product the company does not believe in.
- Nintendo (OTCPK:NTDOY) previewed its new gaming console, the Wii U console, at the E3 conference. It demonstrated how the system works by trialing 23 different games it has developed for the system. However, it failed to release a date of launch or a price for the product.
- Apple has filed a lawsuit against Samsung (OTC:SSNLF) at a court in Germany. It wishes to stop sales of Samsung's updated Galaxy Tablet in Germany. The Galaxy Tablet was originally blocked in Germany; however, Samsung claims it has updated the tablet to address the violations. Nonetheless, Apple still claims that the Tablet violates the design patent it has registered with the EU. If the court rules in Apple's favor, Samsung will continue to be prevented from selling its Galaxy Tablet in Germany.
- Sprint (NYSE:S) has announced that it will start selling the iPhone in the U.S. as a pay-as-you-go phone. The phone will go on sale starting in July and will allow Sprint to enter another area of the market. This move now leaves Deutsche Telecom AG's (NYSE:DTE) T-Mobile USA as the only major network without the iPhone on sale.
Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in NOK over the next 72 hours.