Dow Closes 600 Points Lower to Begin September, S&P 500 Drops 2%
Stocks tumbled Tuesday as technology names struggled and new economic data rekindled fears around the health of the economy.
The Dow Jones Industrial Average fell 626.15 points, or 1.51%, to end at 40,936.93. The S&P 500 slid 2.12%, closing at 5,528.93. The Nasdaq Composite dropped 3.26% and settled at 17,136.30.
Stocks felt downward pressure as Nvidia, the high-flying artificial intelligence darling that has captured investor attention for more than a year, dropped more than 9%. It was one of several semiconductor stocks including Micron, KLA and Advanced Micro Devices seeing declines in the session. The VanEck Semiconductor ETF (SMH) slid more than 7%. It was the worst day since September 2022 for the tech sector.
The market initially took a leg down Tuesday morning after two readings of manufacturing production showed signs of weakness. S&P Global's showed a decline from July to August, while the Institute for Supply Management's came in under the level anticipated by economists polled by Dow Jones. This data reignited concerns around slowing growth within the U.S. economy, which helped drive a closely watched sell-off early last month.
Source : CNBC
