Tech Stocks Lead Market Decline as Apple Shares Tumble
U.S. stock markets closed lower on Thursday, with tech stocks leading the downturn. Apple’s shares fell more than 3%, marking their worst daily performance since August and contributing significantly to the broader market decline.
The Nasdaq Composite experienced the sharpest drop among major indexes, falling 0.89%. The S&P 500 and Dow Jones Industrial Average also retreated, with declines of 0.21% and 0.08% respectively. This downturn broke the S&P 500’s three-day winning streak, which had been fueled by positive inflation data and strong bank earnings earlier in the week.
Megacap tech stocks were at the forefront of the market slide. Alongside Apple’s notable decline, Tesla shares also fell 3%, while Nvidia saw a nearly 2% decrease. Alphabet, Google’s parent company, lost more than 1%.
The day’s economic data provided a mixed picture. Retail sales for December showed a 0.4% increase, slightly below the anticipated 0.5% rise. This data point, combined with the previous day’s favorable Consumer Price Index (CPI) report, contributed to a complex market sentiment.
In the commodities market, oil prices retreated, with West Texas Intermediate crude falling 1.7% to $78.63 a barrel. Brent crude, the international benchmark, decreased by 0.8% to $81.31 a barrel. Gold, however, saw gains, rising 1% to $2,746 an ounce.
The bond market reflected the day’s cautious mood, with the 10-year Treasury yield falling three basis points to 4.615%. In the cryptocurrency space, Bitcoin remained relatively stable at $100,193.
As markets navigate through mixed economic signals and tech sector volatility, investors are closely watching for potential catalysts that could shape market trends in the coming months. Analysts are discussing various scenarios, including the potential impact of a TikTok ban in the U.S. and the performance of different cryptocurrencies in 2025.