Wall Street ends the week mixed; S&P 500 and Nasdaq fall sharply.

Concerns over potential stricter U.S. restrictions on China and chip companies selling to the Asian country led to profit-taking in tech.

Written by: Ignacio Teson • Saturday, July 20, 2024 • 1 min read

• Last updated: Saturday, July 20, 2024

For the week, the Dow Jones rose for the third consecutive time, while the S&P 500 and Nasdaq had their worst declines for a similar period since April. Analysts highlighted a shift towards non-tech companies.

All three major Wall Street indexes fell in a mixed week, marked by a significant profit-taking in tech stocks. This resulted in a more than 3% loss for the Nasdaq, as the market focuses on the upcoming U.S. election.

The main index, the Dow Jones, comprised of 30 large companies, dropped 0.93% to 40,287.53 points. The S&P 500 lost 0.71%, and the Nasdaq Composite fell 0.81%, with levels at 5,505.00 and 17,726.94 points, respectively.

Concerns over potential stricter U.S. restrictions on China and chip companies selling to the Asian country led to profit-taking in tech stocks this week. Traders adjusted their portfolios in response.

The so-called “Magnificent Seven” posted significant losses: Apple Inc (-2.70%), Microsoft (-3.67%), Nvidia (-8.76%), Alphabet (-3.98%), Amazon (-5.82%), Meta Platforms (-4.41%), and Tesla (-3.64%), which heavily influenced the indices.

SPX

Investors are also closely watching the upcoming November elections, where the U.S. will choose its president. Donald Trump, who was injured by a gunshot at a rally, officially accepted the Republican nomination yesterday.

Questions about the viability of Joe Biden’s candidacy, the current 81-year-old president, have started to spread. Former President Barack Obama has joined these voices. Biden is currently resting due to COVID-19.

Finally, a notable event today was the crash of Microsoft Windows systems, caused by a CrowdStrike update that disrupted services across multiple sectors worldwide. This added pressure to Microsoft, and CrowdStrike shares fell 11%.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
Open a FREE Trading Account

ABOUT THE AUTHOR See More

Ignacio Teson

Economist and Financial Analyst

Ignacio Teson is an Economist and Financial Analyst. He has more than 7 years of experience in emerging markets. He worked as an analyst and market operator at brokerage firms in Argentina and Spain.