Dow closes 300 points lower, retreating from record; Nvidia drags down Nasdaq
Stocks tumbled Tuesday, taking a breather from their rally, as traders sifted through the latest corporate earnings reports.
The Dow Jones Industrial Average lost 324.80 points, or 0.75%, closing at 42,740.42. The 30-stock average touched a fresh intraday record before sliding. The S&P 500 slipped 0.76% to end at 5,815.26, and the Nasdaq Composite fell 1.01% to 18,315.59.
ASML tanked 16% as chipmakers took a dive. The company’s CEO warned of “cautiousness” amongcustomers and said a “recovery is more gradual than previously expected.” Nvidia and AMD shed 4.7% and 5.2%, respectively. The VanEck Semiconductor ETF (SMH) dropped 5.4% for its worst day since Sept. 3.
Further, UnitedHealth slid 8.1% after the company trimmed its full-year earnings outlook. The insurer’s decline weighed on the 30-stock Dow.
So far, about 40 S&P 500 companies have reported third-quarter results. Of those, 80% have beaten analyst expectations, per FactSet.
Source: CNBC