Stocks retreat as tech loses steam

Stocks fell on Tuesday as Samsung’s profit warning took the shine off the sector and the previous day’s gains in tech stocks lost momentum.

The Dow Jones Industrial Average (^DJI) fell 0.6%, or more than 200 points. The benchmark S&P 500 Index (^GSPC) fell 0.4%, and the tech-heavy Nasdaq Composite Index (^IXIC) fell about 0.4%.

Samsung’s latest update weighed on hopes for a recovery in the PC and mobile sectors, the main markets for the company’s memory chips. The company said it expects fourth-quarter operating profit to decline 35%, well below expectations, as demand continues to lag.

The Dow Jones Industrial Average on Monday shook off a sharp drop in Boeing (BA) stock due to the failure of its 737 Max 9 planes, with Big Tech contributing to the stock’s rise. Shares of Alaska Airlines (ALK) and United Airlines (UAL) fell slightly on Tuesday even as the airlines said inspections found loose parts.

The main focus for investors remains Thursday’s December consumer inflation rate and what that means for the possibility of a rate cut. But two Fed officials on Monday poured cold water on Wall Street’s already fading hopes that interest rates could be cut in the coming months.

The idea that inflation is cooling is underpinning investors’ belief that the U.S. economy will avoid recession. That belief will face a serious test Friday, when the fourth-quarter earnings season for major banks begins.

Meanwhile, oil prices (CL=F) (BZ=F) rose more than 1%, paring Monday’s nearly 4% decline as investors weighed tensions in the Middle East and the impact of Saudi Arabia’s decision to cut oil prices. I got some back.

live2 updates

Tuesday, January 9, 2024, 8:20am MST

Stock prices rise in morning trading

Here are some of the leading stocks on Yahoo Finance. trend ticker Tuesday trading page:

Juniper Networks (JNPR): The networking supplier’s stock price rose Tuesday morning following a Wall Street Journal report that revealed Hewlett Packard Enterprise (HPE) is considering acquiring the company in a deal worth $13 billion. rose more than 20%. Hewlett-Packard shares fell more than 8%.

Jet Blue (JBLU): The company fell more than 6% after Robin Hayes, who led the company for nearly nine years, announced she would step down as CEO. His resignation is significant as the airline awaits a decision on whether a federal judge will block a proposed merger with Spirit Airlines that he supported.

Unity Software (U): The video game developer’s stock fell nearly 7% after the company announced plans to lay off about 1,800 employees, representing 25% of its workforce.

Nvidia (NVDA): Shares of the AI software and hardware supplier continued to rise on Tuesday morning, rising 0.3% after the AI supplier reported that: Plans to start mass production of AI chips Designed for the Chinese market in compliance with US export regulations. The sale of this chip and two others is aimed at preserving the company’s market share in China amid tightening export controls from Washington, Reuters reported.
Tuesday, January 9, 2024, 7:33am MST

Tech stock rally loses momentum and stock prices begin to fall

Wall Street opened Tuesday’s session in the red as tech stocks fell.

The Dow Jones Industrial Average (^DJI) fell 0.5%, or about 200 points. The benchmark S&P 500 Index (^GSPC) fell nearly 0.6%, and the tech-heavy Nasdaq Composite Index (^IXIC) fell about 0.7%.