US stocks slid on Wednesday, failing to extend Tuesday's rebound that snapped a three-day losing streak for the major averages.
Losses accelerated into the close as the benchmark S&P 500 (^GSPC) fell more than 0.8% and the tech-heavy Nasdaq Composite (^IXIC) slid 1.1%. The Dow Jones Industrial Average (^DJI) was off about 0.6%, or nearly 250 points. All three of the major averages had been up more than 1% at some point during the session.
Chip stocks led the losses on Wednesday, with AI leader Nvidia (NVDA) falling more than 5%.
Investors also kept a close eye on the VIX (^VIX) — known as Wall Street's "fear gauge" — which spiked into the low 60s on Monday, levels last seen during the throes of the pandemic. The VIX was little changed Wednesday, closing just below 28. Ahead of last week's sell-off, the VIX had been trading in the teens.
On the earnings side, numbers out of Disney (DIS) reported early Wednesdayshowed the entertainment giant turned a profit in its streaming unit for the first time last quarter while the company also raised its full-year earnings forecast. Shares of Disney were down fell more than 4%, however, as investors digested concerns over Disney's park business.
Late Tuesday, both Airbnb (ABNB) and Super Micro Computer (SMCI) reported results that disappointed, sending shares sharply lower.
Airbnb stock fell almost 14% after the company offered a current quarter forecast below expectations.
Super Micro stock fell over 20% as margins disappointed and the tech company, which has ridden a wave of AI enthusiasm, also announced a 10-for-1 stock split, which will take effect Oct. 1.
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