The broader indices closed lower with the NASDAQ index leading the way to the downside. Chip stocks and AI led the way to the downside:
- Applovin -12.65%
- Micron, -4.40%
- Marvel technologies -7.75%.
- Intel -6.12%
- Broadcom, -3.98%
- AMD, -4.21%
- Texas Instruments -4.14%
- SanDisk -12.63%
- ARM holdings, -7.55%
- Nebius Group -4.16%
- Lam Research, -5.83%
- GE Vernova, -4.49%
- Applied Materials -4.50%
- Nvidia -3.52%
- SpaceX, -4.24%
- Cerebra -4.86%s
- SK Hynix -9.32%
Looking at the broader indices:
- Dow industrial average fell -138.01 points or -0.26% at 52504.26
- S&P index fell -59.94 points or -0.79% at 7515.42
- NASDAQ index -408.43 or -1.55% at 25873.18
- Russell 2000 fell -24.63 points or -0.83% at 2953.16
U.S. stocks opened sharply lower, tracking heavy losses overseas after South Korea’s KOSPI plunged 8.95%. Selling accelerated during the session after President Trump said the U.S. would resume the blockade and impose a 20% toll on all ships transiting the Strait of Hormuz to compensate for U.S. naval protection.
The bearish tone deepened following comments from Fed Governor Christopher Waller, who signaled that another increase in core inflation could be enough to support further policy tightening. Conversely, he said it would take several months of softer inflation data before he would consider shifting to a more dovish stance.
Those remarks set the stage for an important day on Tuesday. Fed Chair Kevin Warsh will make his first appearance before Congress on Capitol Hill, just hours after the release of the closely watched June CPI report at 8:30 AM ET. Together, the inflation data and Warsh’s testimony have the potential to shape expectations for the Fed’s policy path and drive market volatility.
Also before the open tomorrow, J.P. Morgan, Citibank, Bank of America, Goldman Sachs, Wells Fargo will all announce earnings.
