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Stocks Sink as Tech Undermines NASDAQ, S&P 500

EQUITIES
  • The fierce rally in US yields following last week's FOMC decision continued apace Tuesday, undermining growth and cyclical stocks to pressure tech and communication services lower.
  • Volumes were solid as evidenced in futures, with the E-mini S&P clearing the daily average volume of 1.45mln at the London close, marking a very active session.
  • Tech responded to the sharp uptick in yields, with the 10y now solidly above 1.5% and potentially spooking some of the more cyclical/growth-oriented plays.
  • Weakness in chipmakers and semiconductor names was noted across European trade, and the likes of AMD, NVIDIA and NXP Semi joining their European counterparts. As a result, the NASDAQ led with losses of 2.5% while the Dow Jones dropped around 1.5% or so.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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