S&P 500, Nasdaq Slip Into Red As Chip Stocks Crash; SK Hynix Plunges 6%
Dow edged higher at the open, while the Nasdaq and S&P 500 slipped as technology stocks came under pressure.
US stocks opened on a mixed note on Thursday, with the Dow Jones Industrial Average extending gains, while the Nasdaq Composite and S&P 500 traded lower in early deals as weakness in semiconductor stocks weighed on broader sentiment.
As of 9:32 a.m. EDT, real-time data showed the Dow Jones Industrial Average rising 126.52 points, or 0.24%, to 52,785.16.
The Nasdaq Composite was down 116.73 points, or 0.44%, at 26,152.50 as of 9:31 a.m. EDT, while the S&P 500 slipped 15.48 points, or 0.20%, to 7,556.92 at 9:32 a.m. EDT.
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Chipmakers remained at the centre of the market weakness, with SK Hynix tumbling 6% shortly after the opening bell to $166.04 a share. The sharp decline extended a broader rout in semiconductor stocks that has weighed heavily on technology shares.
The weak opening followed another bruising session for chipmakers in pre-market trading. Nasdaq futures had fallen about 1% before the bell as selling pressure intensified across the semiconductor sector.
SK Hynix ADR slid 7.1% in pre-market trading after ending the previous regular session 9% lower, signalling continued caution among investors.
The selloff spread across the sector. Micron Technology fell 4.9% in pre-market trading after shedding 8% in the previous session, while Advanced Micro Devices (AMD) declined 3.4% following a 3.5% drop a day earlier. Intel Corp. also remained under pressure, falling 3.1% in pre-market trading after losing 4.4% in the previous session.
The sharp pullback in semiconductor stocks has become a key focus for investors, given the sector's outsized contribution to the Nasdaq's rally over the past year. Continued weakness in chipmakers is weighing on broader technology sentiment as Wall Street assesses the outlook for the sector.
Source: NDTV Trending
