Thursday saw major indices experiencing some losses due to disappointing economic news, sparking fears of a recession. While Meta Platforms managed to hold onto some gains, Nvidia struggled to reclaim its 50-day moving average. Earnings from Apple and Amazon were eagerly anticipated after the market close.
The Nasdaq composite dropped over 3% but managed to reduce the loss to 2.3% by the end of the day. Moderna and Arm Holdings were the worst performers on the Nasdaq, both seeing double-digit declines after earnings announcements. On the other hand, the S&P 500 ended with a 1.4% deficit, with utilities and real estate sectors performing relatively well.
Despite a 700-point drop at one point, the Dow Jones Industrial Average closed with a 495-point shortfall, maintaining above its 21-day exponential moving average. Looking ahead, the focus is on payroll data for July expected to show a decrease to 180,000 from June’s 206,000.
In the tech sector, Meta Platforms led the way with strong second-quarter results, while Arm stumbled with a significant loss after disappointing outlook. Qualcomm also faced challenges after third-quarter results. Other stocks like Ingersoll Rand and Monday saw sell signals and declines, affecting various sectors.
The stock market saw lighter volume initially but picked up after weak economic data was released. Investors turned to safe-haven Treasury bonds, causing yields to drop. Despite the general decline in the market, stocks like Shake Shack and Clearwater Analytics showed positive movements based on strong earnings and potential breakout opportunities.
Looking at overall market trends, the S&P 500 and Nasdaq had mixed performances in July, with some companies like Marriott and United Therapeutics showing bearish moves post-earnings. The stock market continues to be influenced by economic data and company performances, with investors looking for opportunities in various sectors.
