{
  "type": "article",
  "title": "Chip And AI Selloff Snaps The Nasdaq's Winning Run As Wall Street Turns Red",
  "summary": "The Nasdaq Composite and Nasdaq 100 snapped their winning streaks as chipmakers and AI stocks sold off hard, while the Dow Jones and S&P 500 also closed lower. Investors now turn to the June jobs report and the July 14 earnings season kickoff.",
  "content": "Wall Street's tech-driven rally ran out of steam overnight as the Nasdaq Composite and Nasdaq 100 snapped their winning run, dragged down by a heavy selloff in chipmakers and artificial intelligence names. The Dow Jones and S&P 500 also finished in negative territory, though their losses were far smaller. The steepest damage landed on the tech-heavy Nasdaq. While July is traditionally seen as a bullish month, traders are juggling US-Iran tensions, sticky inflation and a hawkish stance from the US Federal Reserve.\n\nNasdaq leads the slide\nThe Nasdaq Composite shed 173.69 points, or 0.7%, to settle at 26,040.03 when trading closed on July 1, 2026. The drop ended a two-session winning streak worth 955.42 points, a rebound that had followed a 1,503-point plunge the previous week.\n\nThe Nasdaq 100 took an even harder hit, tumbling 467.21 points, or 1.54%, to end the session at 29,809.13. That pushed the index back below the 30,000 level it had reached on June 30 after five days of choppy trading.\n\nChip and memory stocks bleed\nBoth technology gauges buckled under sharp selling in semiconductor and memory shares. Micron Technology and Sandisk Corp each sank 10.6%, Applied Materials fell 10%, Intel lost 9% and AMD slipped 6.9%.\n\nEven Nvidia, the world's most valuable company and a bellwether of the AI boom, closed 1.3% lower. SpaceX, a heavyweight component of the Nasdaq 100, cratered nearly 8%.\n\nDow and S&P edge lower\nThe Dow Jones finished barely in the red, off 13.96 points, or 0.027%, at 52,305.24. The S&P 500 closed at 7,483.23, down 16.13 points, or 0.22%.\n\nAsian markets feel the chill\nThe weakness on Wall Street spilled into Asian trading in the early hours of Thursday. According to Ponmudi R, CEO of Enrich Money, Qatar said the latest round of indirect US-Iran talks had made \"positive progress,\" keeping hopes of a wider diplomatic breakthrough alive. Even so, the mood across Asia stayed cautious after the US tech rout, with Japan's Nikkei sliding nearly 2% early in the session and South Korea's Kospi dropping more than 6%, a sign of how jittery global risk appetite had become.\n\nJobs data and the Fed in focus\nUS stock futures drifted lower on Thursday as investors held back ahead of the June jobs report, a release expected to offer fresh signals on the labor market and the Federal Reserve's rate path. Figures out on Wednesday showed private-sector hiring cooled more sharply than forecast last month. Fed Chair Kevin Warsh said inflation expectations had softened over the past month, while restating the central bank's pledge to bring back price stability.\n\nEarnings season brings optimism\nThere are still reasons for bulls to stay hopeful. A Charles Schwab report noted that investors are looking forward to the coming earnings season, which unofficially opens on July 14 as big banks post second-quarter numbers. As of June 26, analysts were pencilling in 23.1% year-over-year earnings growth for S&P 500 companies. All 11 sectors are expected to log gains of 10% or more, per FactSet, with Communication Services out front and Industrials and Real Estate trailing.\n\nNathan Peterson, director of derivatives research and strategy at the Schwab Center for Financial Research, listed several positives. \"Seasonally, July is bullish, the broadening of the rally is healthy, oil prices are down significantly, and rate hike expectations may soften.\"\n\nWhat this means for you\nHere's what the selloff could mean for you.\n\n• For investors: A sharp drop in US chip and AI stocks like Nvidia, AMD and Micron can drag down technology-heavy funds and any US-focused portfolio you hold.\n• For Indian markets: Weakness on Wall Street has already spilled into Asia, so Indian indices and IT stocks tied to global tech sentiment may face pressure in the near term.\n\nQuestions & Answers\n\n1. How much did the Nasdaq Composite fall?\nIt dropped 173.69 points, or 0.7%, to close at 26,040.03 on July 1, 2026.\n\n2. Which stocks led the decline?\nChip and memory names, with Micron Technology and Sandisk Corp down 10.6%, Applied Materials 10%, Intel 9% and AMD 6.9%.\n\n3. How did the Dow and S&P 500 close?\nThe Dow slipped 13.96 points (0.027%) to 52,305.24 and the S&P 500 fell 16.13 points (0.22%) to 7,483.23.\n\n4. How much did Nvidia and SpaceX move?\nNvidia closed 1.3% lower, while SpaceX crashed nearly 8%.\n\n5. When does earnings season begin?\nIt unofficially kicks off on July 14 when major banks release their second-quarter results.\n\n6. How did Asian markets react?\nIn early Thursday trade, Japan's Nikkei fell nearly 2% and South Korea's Kospi dropped more than 6%.",
  "url": "https://trendkia.com/en/market/chipa-aura-ai-sheyaron-men-bhari-bikavali-se-nasdaq-ki-teji-thami-wall-street-lala-nishana-men-4009",
  "category": "Market",
  "publishedAt": "2026-07-02",
  "tags": [
    "Nasdaq",
    "Wall Street",
    "AI stocks",
    "US market",
    "Nvidia",
    "Federal Reserve",
    "S&P 500",
    "chip stocks"
  ],
  "language": "en",
  "site": "TrendKia"
}