The stock market is crashing! Is this the start of a Bear market?
The Dow Jones Industrial Average held up relatively well Friday morning after the blue-chip index gave back early gains for the third straight session Thursday, closing near lows and undercutting its 50-day moving average. Technology stocks in the Dow Jones came under more selling pressure, including Apple (AAPL) and Microsoft (MSFT).
Walmart (WMT) was a bright spot in the Dow Jones today, one day after WMT stock sold off sharply despite what looked like a strong quarter. Cisco Systems (CSCO) extended gains after a positive response to earnings Thursday.
Falling bond yields were offset by more strength in the U.S. dollar. The Invesco DB U.S. Dollar Bullish ETF (UUP) edged higher and is on pace for its fifth straight weekly gain. The 10-year Treasury yield was down 7 basis points to around 4.24%.
Nvidia (NVDA), one of the Magnificent 7 stocks, was down another 3% ahead of next week’s earnings report. Results are due Wednesday after the close, and the chip leaders is expected to report strong bottom-line and top-line growth. The Zacks consensus estimate is for adjusted profit of $2.06 a share, up 304% from the year-ago quarter. Revenue is seen rising 65% to $11.04 billion. When NVDA reported results in May, it guided quarterly revenue about $4 billion above expectations.
Leaderboard stock Meta Platforms (META), along with Google parent Alphabet (GOOGL), Amazon.com (AMZN) and Tesla (TSLA), were other Magnificent 7 down at least 1.5% in the early going.Tesla stock extended losses with its sites set on the 200 level. Tesla’s 200-day moving average, a key long-term support level, is around 196.50.Bitcoin crashed 5.5% to around $26,300 after the WSJ reported that Elon Musk’s SpaceX has sold all its holdings in the cryptocurrency.