Nasdaq Ends 5% Lower As Multinationals Earnings Disappoint

Financial markets swiftly shifted from excitement to concern in a blink, with Nasdaq crashing more than 5%, after yesterday’s jump. Yesterday, traders were long on everything, anticipating additional Fed rate cuts due to a weakening economy. Today, traders perceived excessive economic deterioration and believe the Fed is behind the curve.

Nasdaq Chart Daily – Stuck Between 2 MAs

The rates market is currently pricing in a 20% chance of a 0.50% drop in September, causing market anxiety. The Nasdaq has erased all its gains from yesterday, falling over 5%. Stocks from Chipmakers and other tech companies leaded the way down, as earnings from major corporations continued to disappoint today. The NASDAQ futures index closed the day down more than 1,000 points, or -5.3%, at 19,042.

Buyers failed to break above the 50-day SMA (yellow) yesterday, which now appears to act as resistance, while the 100-day SMA (green) at the bottom seems to provide support on the daily chart. We’ll see if the upcoming NFP report can break either of these moving averages.

Intel Q2 Earnings Report

• Intel reported EPS of $0.02 vs. $0.10 expected
• Revenues were $12.83 billion vs. $12.94 billion expected
• Company to suspend dividend starting in Q4 of 2024
• Announced a $10 billion cost reduction plan
• Plans a 15% headcount reduction
• Shares are trading down -10.12% after hours, at $26.10

US Major Stock Indices at the Close

• Dow Industrial Average fell -496.00 points or -1.21% to 40346.78
• S&P index fell -75.69 points or -1.37% to 5446.60
• NASDAQ index fell -405.25 points or -2.30% to 17194.15

Nasdaq Index Live Chart

[[Nasdaq-graph]]

ABOUT THE AUTHOR See More

Skerdian Meta

Lead Analyst

Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.

Related Articles

Hertz Stock (HTZ) Soars 120% as Bill Ackman Bets 46 Million

1 day ago

Save

Stock Market Momentum Finally Dying Down after Tariff Pause

2 days ago

Save

Google Stock Needs to Overcome This Resistance to Turn the Trend Bullish!

2 days ago

Save

Comments

0 0 votes

Article Rating

Subscribe

Login

Notify of

new follow-up commentsnew replies to my comments

Please login to comment

0 Comments

Oldest

Newest Most Voted

Inline Feedbacks

View all comments