- Dow Jones Industrial Average lost 811.33 points, or 2.79%,
- S&P 500 dropped 125.96 points, or 3.52%, to 3,454.88.
- Nasdaq Composite fell 598.34 points, or 4.96%, to 11,458.10.
A rout in US equities, led by overheated tech stocks, dominated Wall Street as the big-tech market darlings suffered sharp declines.
consequently, the tech-laden Nasdaq and the S&P 500 SPX had their worst days since June 11, and the Dow DJI, since June 26.
Unofficially, the Dow Jones Industrial Average lost 811.33 points, or 2.79%, to 28,289.17, the S&P 500 dropped 125.96 points, or 3.52%, to 3,454.88 and the Nasdaq Composite fell 598.34 points, or 4.96%, to 11,458.10.
Thursday's breakdown has signalled a significant trend reversal in a severely extended and overbought market.
S&P 500 movers: NVIDIA Corp (NVDA: NASDAQ) falls sharply from record highs
Technology shares, which registered impressive gains during the latest risk rally, are among the worst performers on Thursday.
At one stage, NVIDIA Corp (NVDA: NASDAQ) shares slump by nearly 9% at $523.37.
Qorvo Inc (QRVO: NASDAQ), Juniper Networks Inc (JNPR: NYSE), Skyworks Solutions Inc (SWKS: NASDAQ), Zebra Technologies Corp (ZBRA: NASDAQ) and Advanced Micro Devices Inc (AMD: NASDAQ) shares are down between 8.9% and 7.9%.
US data mixed ahead of NFP
Initial claims were fewer than expected and the August ISM non-manufacturing index fell back in July.
Initial claims were fewer than expected led by a sharp drop in new orders (56.8 vs 67.7), while business activity fell to 62.4 vs 67.2.
Employment improved but remains below 50, indicating jobs in the non-manufacturing sector are still being lost, albeit at a slower pace. The prices index firmed to 64.1.
Meanwhile, Initial Claims were fewer than expected and continuing claims fell last week (albeit with methodology changes), providing evidence of an ongoing improvement in the US labour market.
Markets are now getting set ahead of the August Non-Farm Payroll data which is due today, Friday. The Reuters poll is calling for1.4 million jobs to have been created and a 9.8% unemployment rate.
S&P 500 levels
S&P 500 Price Analysis: The S&P 500 crashes 2.5% and drops below 3,500
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
Gold price taps $3,300; fresh record high amid trade war concerns and weaker USD
Gold price continues scaling new record highs through the Asian session on Wednesday and has now moved well within striking distance of the $3,300 round-figure mark. Persistent worries about the escalating US-China trade war and US recession fears amid the ongoing US tariff chaos continue to boost demand for gold.
EUR/USD holds firm above 1.1350 amid renewed US Dollar weakness
EUR/USD is storngly bid above 1.1350 in European trading on Wednesday. The pair draws support from a fresh round of selling in the US Dollar amid persistent fears over US-China trade war and a lack of progress on EU-US trade talks. US consumer data and Powell speech are in focus.
GBP/USD trades at fresh 2025-high above 1.3250 after UK CPI data
GBP/USD builds on its six-day winning streak and trades at its highest level since October above 1.3250 in the European session on Wednesday. The data from the UK showed that the annual CPI inflation softened to 2.6% in March from 2.8% in February but had little impact on Pound Sterling.
Exchange inflows surge as XRP slides, what comes next?
Ripple corrected along with other major digital assets, including Bitcoin and Ethereum, and traded at $2.08 at the time of writing on Wednesday. The drawdown cut across the crypto market, causing the total capitalization to drop 3.2% to $2.736 trillion.
Is a recession looming?
Wall Street skyrockets after Trump announces tariff delay. But gains remain limited as Trade War with China continues. Recession odds have eased, but investors remain fearful. The worst may not be over, deeper market wounds still possible.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.