Late trading: U.S. stocks fell in late trading, and chip stocks once again dragged down the market
In the early morning of July 17th, Beijing time, U.S. stocks fell late on Thursday, with the Dow Jones Industrial Average falling more than 300 points. A massive sell-off in chip stocks overshadowed a string of solid earnings reports. The Dow fell 158.88 points, or 0.30%, to 52499.76 points; the Nasdaq fell 332.67 points, or 1.27%, to 25936.55 points; the S&P 500 fell 38.15 points, or 0.50%, to 7534.25 points. Weakness in the semiconductor sector weighed on stock indexes. rose more than 2%, and its performance easily exceeded profit expectations, restraining the Dow's decline. Earnings season got off to a strong start this week. Among the 40 S&P 500 companies that have released financial reports, more than 87% have exceeded expectations. Large banks, seen as a bellwether for economic activity, also beat second-quarter profit forecasts by a wide margin earlier this week. "Overall, if you look at earnings across market capitalizations, this is still a strong market," said Patrick Ryan, chief investment strategist at Madison Investments. Chip stocks fell after It raised its spending forecast, overshadowing its better-than-expected second-quarter financial results. The company expects capital expenditures to be between $60 billion and $64 billion this year, up from its previous guidance range of $52 billion to $56 billion. The stock closed down about 3%. The VanEck Semiconductor ETF (SMH) fell more than 3%, led by Arm Holdings' decline of more than 8%. Technology and AMD Semiconductor shares fell more than 5%. Broadcom fell more than 3%. SK Hynix’s U.S.-listed shares fell more than 8%. The latest batch of economic data continues to show that U.S. consumers remain resilient amid rising price pressures. In the week ended July 11, the number of initial jobless claims was a seasonally adjusted 208,000, down from Economists polled expected 218,000. Retail sales were in line with expectations, rising 0.2%. An indicator of factory activity in the Philadelphia area hit a nearly five-year high.