Stock market today: Live updates

The Nasdaq Composite fell on Thursday, because the know-how sector continued struggling amid the market’s rotation on hopes of easing financial coverage.

The technology-heavy index index misplaced 1.1%. The S&P 500 dropped 0.7%. The Dow Jones Industrial Common slid 250 factors, or 0.6%.

The Nasdaq’s underperformance marks a continuation of the broader shift away from tech seen in current days. Wall Avenue has dumped shares of synthetic intelligence performs because the rising chance of a September rate of interest reduce from the Federal Reserve bolstered optimism within the broader market. However, that is largely helped small-cap and extra cyclical names, that are seen as greater beneficiaries of decrease borrowing prices.

Data know-how shares additionally weighed down the broad S&P 500, with the sector tumbling greater than 1%. Micron Expertise dropped greater than 3%, whereas large tech names Apple and Microsoft respectively slid greater than 2% and 1%.

This pattern got here to a head on Wednesday, when the Nasdaq tumbled 2.8% in its worst day since December 2022. Wednesday additionally marked the primary session since 2001 the place the Nasdaq posted a loss exceeding 2.5%, whereas the blue-chip Dow registered a achieve. However, the Dow was propelled to its first-ever closing stage above 41,000 within the session.

The rotation additionally explains why the small-cap centered Russell 2000 has jumped near 9% within the final 5 buying and selling days, regardless of additionally sliding in Thursday’s session. By comparability, the Nasdaq has slipped greater than 4% over the past week.

“Clearly, Fed easing charges goes to be good for small companies,” stated Charlie Ripley, senior funding strategist at Allianz. In the meantime, there’s “some prudence and revenue taking with the tech commerce that is been so worthwhile this 12 months.”

In company information, Uncover Monetary popped 2% after its second-quarter outcomes topped expectations. Past Meat tumbled near 11% after The Wall Avenue Journal reported, citing individuals acquainted, that the meat substitute firm is assembly with bondholders to start discussions about restructuring its steadiness sheet.