Headline: Tech-Heavy Nasdaq Leads U.S. Market Selloff Ahead of Nvidia Earnings
U.S. equities slid sharply as risk sentiment weakened, with all major stock indices down more than 1.25%. The Nasdaq Composite led losses, dropping 1.83% to 22,296, while the Dow Jones Industrial Average fell 1.35% and the S&P 500 declined 1.26%. Investors turned cautious ahead of a key earnings report from Nvidia, a bellwether for semiconductor and AI-related stocks.
From a technical standpoint, the Nasdaq has slipped away from its 50-day moving average near 22,862 after oscillating around that level for two sessions. A close below it has tilted the near-term bias lower. The next support area sits around the October low near 22,204, followed by the rising 100-day moving average at 21,996. The index has not traded decisively below its 100-day moving average since May 9, a break that preceded a strong rebound following a 26% drawdown from the December 2024 peak. Despite today’s pullback, the Nasdaq remains up more than 15% year-to-date.
Nvidia headlines the week with earnings due tomorrow, and its stock reflects the market’s nervous tone. Shares fell 2.48% to $182.17, touching an intraday low of $179.65—just above the 100-day moving average at $179.52, where buyers emerged. After signaling roughly $500 billion in orders at its recent investor day, Nvidia’s stock ran to $212.19 before retreating more than 15% from that high. Broader AI sentiment was mixed as Anthropic outlined plans to spend $30 billion on compute capacity via Nvidia and Microsoft; even so, Microsoft shares slid 2.76%, underscoring the pressure across mega-cap tech and semiconductor names.
Key Points: – Nasdaq falls 1.83% to 22,296, leading a broad U.S. market decline; S&P 500 and Dow also drop over 1.25%. – Nasdaq slips below its 50-day moving average (22,862); next supports near 22,204 and the 100-day at 21,996. – The index is still up more than 15% for the year despite recent weakness. – Nvidia drops 2.48% to $182.17, briefly testing its 100-day moving average ahead of earnings. – Nvidia shares have pulled back over 15% from the recent $212.19 high following investor day optimism. – AI spending remains a focal point as Anthropic plans $30 billion in compute with Nvidia and Microsoft; Microsoft stock falls 2.76%.
