- The S&P 500 heads to close down 1.4% with Nasdaq dropping 2.6% and the Dow -1.4%. The declines from this morning's stronger ground comes as analysts speculate some air falls out of the growth stocks, uncertainty rises about the upcoming U.S. midterm election, and tech retreats again.
- Lunchtime brought greens, but the tech sector is heading back into the red towards close. The Technology Select Sector SPDR Fund (NYSEARCA:XLK) is down 2.5%, the S&P IT index is down 2.6%, the Philadelphia Semiconductor Index is down 1.8%, and the tech-heavy Nasdaq 100 is down 3%.
- The FAANG stocks are pulling down the market with Facebook (NASDAQ:FB) -3.6%, Amazon (NASDAQ:AMZN) -8.2%, Apple (NASDAQ:AAPL) -2.5%, Netflix (NASDAQ:NFLX) -7.1%, and Alphabet (NASDAQ:GOOGL) -6.3% all dropping after Britain’s plan for a UK digital tax that will only target tech giants. The movement also traces back to last week’s revenue misses by Alphabet and Amazon and the WSJ’s report on streaming competition.
- Even the First Trust Cloud Computing ETF is down 1.4% after morning strength on IBM’s -4.7% $34B Red Hat +46% acquisition and the flurry of M&A speculation that followed.
- Previously: Tech lunch break: Software tips its Red Hat to gains (Oct. 29)
- Previously: Netflix sheds another 4% (Oct. 29)
- Previously: Britain will target tech giants with digital tax in 2020 (Oct. 29)
- Now read: Why I Think The Ugly October In Stocks Is Just A Preamble
Original article