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Nasdaq pulls back after steep declines from big tech names

US stocks fell for a second session Tuesday, as steep declines in major tech names such as Apple dragged the broader market further from the record highs recently reached.

The Nasdaq Composite pulled back by 1.65 per cent to 15,939.59 as technology stocks felt the brunt of the market’s drop. The Dow Jones Industrial Average
 lost 404.64 points, or 1.04 per cent, to 38,585.19. The S&P 500
 dipped 1.02 per cent, closing at 5,078.65.

Apple slipped almost 3 per cent on the back of a report from Counterpoint Research that found iPhone sales plunged in China in the first six weeks of 2024.

Several other mega-cap technology stocks including Netflix and Microsoft shed close to 3 per cent, while Tesla dropped nearly 4 per cent.

Outside mega-cap tech, GitLab tumbled 21 per cent after the software company posted a weak forecast for the full year. Intel and Salesforce were the worst performers in the Dow, with each retreating by more than 5 per cent.

Beyond technology, Target jumped more than 12 per cent after holiday-quarter earnings came in stronger than Wall Street forecasted. AeroVironment rallied almost 28 per cent following a better-than-anticipated quarterly report and outlook from the defence company.

Tuesday’s moves come as investors digest the market’s recent rally to all-time highs, which has been powered by optimism around artificial intelligence. Despite the intraday losses, the three major averages are solidly higher year to date.

Turning to US sectors, all sectors closed lower overnight except for Energy, Consumer Staples and Financials. Tech was unsurprisingly the worst, following the poor results from big tech names.

Bitcoin was the latest asset to hit a record, notching an all-time high on Tuesday. However, the digital currency quickly moved into the red after breaking the high for the first time in two

In commodity-related news, the price of gold has reached a record high of $2,141 per troy ounce, fueled by increasing anticipation of US interest rate reductions, demand from investors seeking safe-haven assets, and significant purchases by central banks and Chinese investors. This surge surpasses the previous record of $2,135 set in December, according to LSEG data, although the price slightly receded to $2,131 per ounce later in the trading day.

Canada and Australia have formally agreed to collaborate on advancing shared priorities concerning the extraction, processing, and refining of critical minerals, as stated in a joint ministerial statement. Additionally, both countries will actively advocate for transparency in supply chains and the implementation of robust Environmental, Social, and Governance (ESG) standards within critical minerals markets, recognising the anticipated surge in demand amid the global shift towards clean energy.


The SPI futures are pointing to a 0.1 per cent fall.


One Australian dollar at 8.30am was buying 65.05 US cents.


Gold gained 0.55 per cent. Silver lost 0.38 per cent. Copper fell 0.36 per cent. Oil lost 0.70 per cent.

Figures around the globe

European markets closed mixed. London’s FTSE added 0.08 per cent, Frankfurt fell 0.1 per cent, and Paris closed 0.30 per cent lower.

Turning to Asian markets, Tokyo’s Nikkei fell 0.03 per cent, Hong Kong’s Hang Seng dropped 2.61 per cent and China’s Shanghai Composite gained 0.28 per cent..

Yesterday, the Australian share market closed 0.15 per cent lower at 7,724.20.

Accent Group Ltd (ASX:AX1) is paying 8.5 cents fully franked
Capitol Health (ASX:CAJ) is paying 0.5 cents fully franked
Equity Hl (ASX:EQT) is paying 51 cents fully franked
Hearts and Minds (ASX:HM1) is paying 7 cents fully franked
Jupiter Mines. (ASX:JMS) is paying 1 cent unfranked
Laserbond Limited (ASX:LBL) is paying 0.8 cents fully franked
Monadelphous Group (ASX:MND) is paying 25 cents fully franked
Northern Star (ASX:NST) is paying 15 cents unfranked
Pacific Grp Ltd (ASX:PAC) is paying 15 cents unfranked
QBE Insurance Group (ASX:QBE) is paying 48 cents 10 per cent franked
Reliance Worldwide (ASX:RWC) is paying 3.459 cents unfranked
Smartgrp Corporation (ASX:SIQ) is paying 32 cents fully franked
Skycity Ent Grp Ltd (ASX:SKC) is paying 4.8704 cents unfranked
Servcorp Limited (ASX:SRV) is paying 12 cents 20 per cent franked
Shaver Shop Grp Ltd (ASX:SSG) is paying 4.7 cents fully franked
Super Ret Rep Ltd (ASX:SUL) is paying 32 cents fully franked
Treasury Wine Estate (ASX:TWE) is paying 17 cents 70 per cent franked

Dividends payable
Magellan Financial Group Ltd (ASX:MFG)

Sources: Bloomberg, FactSet, IRESS, TradingView, UBS, Bourse Data, Trading Economics, CoinMarketCap.


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