Nasdaq slides as long-end yields pressure chip stocks
The Nasdaq 100 fell 1.7% as 30-year Treasury yields held at 5.30% and rate-hike bets eased, while the optical and AI-hardware complex sold off sharply.
The stock market today fell victim to a brutal unwind in the optical and AI-hardware complex. 7% while long-end Treasury yields hovered near multi-decade highs and oil held above $91. 9%, as President Donald Trump wrote on Truth Social that there are no “scheduled” talks with Iran. “The Naval Blockade remains in full force and effect,” he argued, while Iranian officials and state media flatly rejected this narrative.
75, up nearly 51% year-to-date. 72%. 18% — a curve shape that says the market is pricing term premium and issuance risk, not Fed tightening. Traders have quietly walked back rate-hike bets.
Markets now expect the Federal Reserve to stand pat in September and no longer fully price an increase by year-end, a sharp reversal from a week ago. 23. 7% to 29,475. 18.
8% on the month. 6%. 2%. 6%.
9%. 3%. 6%, the worst sector by a wide margin. 6%.
S. 9% on higher jet fuel costs. 2% month-to-date run. 9% despite beating on both lines Monday evening.
81 estimate, but weaker margins, negative free cash flow and a softer near-term profit outlook overwhelmed the headline beat. 425 billion was not enough to stop the bleeding. The Read-Across Is Indiscriminate Applied Optoelectronics Inc. 4%, Coherent Corp.
9% and Credo Technology Group Holding Ltd. 5%. Lumentum Holdings Inc. 0% even after William O’Neil reinstated coverage at Buy, and Ciena Corp.
4%. Semis and hardware followed: Marvell Technology Inc. 0% and Corning Inc. 6%.
Keysight Technologies Inc. 3%. SanDisk Corp. (NASDAQ: SNDK ) and Micron Technology Inc.
(NASDAQ: MU ) fell by 8% and 6%, respectively. Aurora Innovation Inc. 6%, with the move consistent with risk-off pressure on cash-burning autonomy names as long-end yields grind higher. The money went somewhere, and that somewhere was software and consumer.
Adobe Inc. 1%, Intuit Inc. 5% and Atlassian Corp. 0%.
Ulta Beauty Inc. A. 5% and Tapestry Inc. 8% after Daiwa upgraded the shares to Outperform with a $140 price target.
Among the day’s biggest winners, Targa Resources Corp. 6% to a record after announcing 20-year integrated midstream agreements with Exxon Mobil Corp. 5 billion; Morgan Stanley raised its target to $343 and Jefferies to $345. DUOL, BBWI: Pure Analyst-Call Stories Duolingo Inc.
A. Davidson upgraded it to Buy from Neutral and lifted its target to $160 from $130. Bath & Body Works Inc. 8% after Citigroup upgraded it to Buy from Neutral with a $25 target, arguing the post-earnings selloff had gone too far.
On the earnings front, The Home Depot Inc. 75%. A. 4% after JPMorgan cut the stock to Neutral from Overweight.
41% Targa Resources Corp. 56% Shift4 Payments, Inc. 28% Duolingo, Inc. 19% Bath & Body