Afternoon update
Stocks fell as concerns over AI spending and uncertain returns hit technology shares, while consumer staples provided a defensive contrast.
As of 2:02 p.m. ET, the S&P 500 was down 1.48% and the Nasdaq Composite was down 2.75%.
Renewed concern about AI infrastructure spending and uncertain return timelines weighed on technology and growth shares.
- Moderna (MRNA) was the afternoon's largest featured decline, down 25.19%. The stock fell after reports emerged about personalized melanoma vaccine results, suggesting a possible data leak ahead of data slated for release this weekend.
- Roper Technologies rose 9.59% after its third-quarter adjusted earnings came in above expectations. The company also raised its full-year guidance for adjusted earnings per share.
- Spotify gained 10.48% after the company issued its forecast for fourth-quarter operating profit. That forecast was above the level analysts had expected.
- In curated $10B+ member baskets, consumer staples averaged +3.08% with 10 advances and 0 declines among 10 members; semiconductors averaged -5.58% with 0 advances and 11 declines among 11 members; technology averaged -3.47% with 3 advances and 15 declines among 18 members.
- The SMH semiconductor ETF fell 5.34%, consistent with the semiconductor basket decline. The consumer defensive sector snapshot rose 2.75%, consistent with the staples basket advance.
Overall, staples provided a measured defensive contrast to the session's technology weakness. Every member of the staples basket advanced, while every member of the semiconductor basket declined.
Not financial advice. For informational and educational purposes only.
Viral chart: global stocks down ~$10T from highs, South Korea -43%; a 43% drop needs a 75% gain to recover
A chart going around X this weekend says global stock markets have lost about $10 trillion from their yearly highs, with South…
US semiconductor producer prices +26% YoY in September; at that pace chip prices double in about 3 years
US producer prices for chips and electronic components rose 26% YoY in September, the 6th…
Apollo's Torsten Slok: AI shows zero payoff in the S&P 493, so the gains sit in 7 of 500 companies (1.4%)
Apollo's latest note: the AI story will be decided in the S&P 493, not the Mag 7. And so far…
Black Monday 1987 — 22.6% in a Day, Still the Benchmark
On October 19, 1987, the Dow fell 508 points, or 22.6%, closing at 1,738.74 versus 2,246.74 on October 16, still the Dow's worst one-day percentage…
On October 19, 1987, the Dow fell 508 points, or 22.6%, closing at 1,738.74 versus 2,246.74 on October 16, still the Dow's worst one-day percentage decline on record. The S&P 500 dropped 20.47%, from 282.70 to 224.84, its own worst day. Analyses…