Nasdaq 100 Plunges More Than 6% as Chip and Data Center Stocks Are Dumped and the Nasdaq Heads Toward a Correction
U.S. stocks fell sharply in trading on Thursday, November 5, with the technology-heavy Nasdaq 100 index down more than 6 percent, the Nasdaq Composite down nearly 4 percent and more than 10 percent below its October 6 record close — putting it on course to confirm a correction — as chip and data center stocks led the selloff.
At 9:57 a.m. ET, according to Reuters, the Dow Jones Industrial Average was down 351.87 points, or 0.66 percent, at 53,004.25; the S&P 500 was down 127.74 points, or 1.66 percent, at 7,560.88; and the Nasdaq Composite was down 795.08 points, or 3.09 percent, at 24,941.44. Losses then deepened: updated Reuters figures put the Nasdaq Composite down nearly 4 percent at 24,712.60, more than 10 percent below its October 6 record close of 27,599.89, while Bloomberg reported the Nasdaq 100 down 6.24 percent, an exchange-traded fund tracking U.S.-listed semiconductor stocks down more than 12 percent, the Dow down about 2 percent and the S&P 500 down about 3.7 percent.
Among individual stocks, Reuters put the broader semiconductor index down 7.1 percent in the morning, with Qualcomm down about 9 percent after its fourth-quarter smartphone chip sales fell short of Wall Street estimates; Nvidia, Advanced Micro Devices, Intel and Marvell Technology also fell. Data center operators IREN, Hut 8 and Applied Digital fell between 6 and 11 percent, Tesla tumbled 9.5 percent, SpaceX eased 6.7 percent and Meta Platforms slid 3.4 percent. Updated figures later showed SanDisk down about 20 percent, AMD and Micron down about 15 percent and Nvidia down about 8 percent.
One trigger was Qualcomm's results: Reuters reported that its handset chip revenue fell 26 percent to $5.137 billion, hit by sluggish smartphone demand and declining Apple-related revenue. Investors also worried that the Democrats' sweep of both chambers of Congress in the midterm elections could bring tighter scrutiny of data center expansion, and questioned how quickly heavy spending on super-intelligence infrastructure will turn into profit, prompting an unwind of crowded chip and data center trades.
The drop followed a strong rally on Wednesday, November 4, when the Dow rose 1,569.40 points, or 3.00 percent, the S&P 500 gained 1.58 percent and the Nasdaq Composite added 1.44 percent, even as the semiconductor index fell 3.13 percent that day. Trading on November 5 is still under way and the losses may change; a follow-up report will carry the closing results.
(Source: Reuters)
Source: Reuters
Published by GSM · USA (original Chinese edition)
Photo: 图：纽约证券交易所交易大厅（资料图）。照片：Carol M. Highsmith，美国国会图书馆收藏，公共领域（无已知出版限制），经 Wikimedia Commons。 / The trading floor of the New York Stock Exchange (file photo). Photo: Carol M. Highsmith, Library of Congress collection, public domain (no known restrictions on publication), via Wikimedia Commons.
