Nasdaq Corrects, Software Stocks Plunge
Wall Street closed lower on Thursday (April 23), led by weakening software stocks and rising oil prices, as uncertainty over the direction of the Iran war again weighed on risk appetite. The S&P 500 fell 0.41% to close at 7,108.40 after briefly setting a new intraday record. The Nasdaq fell 0.89% to 24,438.50, while the Dow fell 179.71 points (-0.36%) to 49,310.32.
The biggest pressure came from the software sector following earnings reports. IBM fell more than 8% despite posting above-expected results, as the company maintained its full-year guidance, disappointing the market. ServiceNow plunged nearly 18%, with subscription revenue growth said to be impacted by the Middle East conflict.
The sell-off spread to other major names: Microsoft fell about 4%, Palantir fell more than 7%, and Oracle fell about 6%. The IGV software sector ETF also fell by around 6%, confirming a rotation out of the growth segment as the combination of rising energy and geopolitical risks pushed investors back into a defensive stance. (Arl)*
Source: Newsmaker.id