Nasdaq Posts Worst Single-Day Performance Since June
U.S. technology stocks came under heavy selling pressure on October 30 U.S. Eastern Time, with the tech-heavy Nasdaq Composite closing down 2.86% at 25437.00, its worst single-day performance since June and about 8% below its recent high. It fell 5.3% in October, its largest monthly drop since March 2025, reflecting heightened investor concerns over corporate earnings, capital spending, and debt risks among cloud operators. Selling intensified in the afternoon of the 30th as investors took profits ahead of month-end and repositioned ahead of next week's competitive midterm elections.
Dow Falls 572 Points While Defensive Stocks Cushion Losses
The blue-chip Dow Jones Industrial Average fell 572.25 points, or 1.09%, to close at 51770.31. The S&P 500 fell 1.82% to close at 7580.07. The Philadelphia Semiconductor Index fell 7.20% to close at 10688.801. TSMC ADR fell 5.95% to close at 406.13 dollars, while Taiwan index futures in night trading fell 1.91% to 44433. As investors shifted funds from technology stocks to other sectors, defensive sectors such as consumer staples and healthcare gained instead, with Walmart and Coca-Cola both rising over 1%, and Merck and Amgen also moving higher, partly limiting the Dow's decline.
Amazon Earnings Miss and Weak Intel Outlook
Amazon shares fell over 1% after the company reported third-quarter revenue and profit both below Wall Street expectations, alongside negative free cash flow of 42.4 billion dollars, while maintaining its 2026 capital expenditure forecast at 220 billion dollars for the full year, deepening market worries over heavy investment and debt risks among cloud operators. Meanwhile, Intel shares plunged nearly 29% after the company gave a weak outlook for the current quarter and cited a slowing personal computer market, with revenue in its Client Computing and Physical AI divisions down 5% year-on-year to 8.1 billion dollars.
Semiconductors Fall Broadly as Nvidia and Broadcom Drop
Semiconductor stocks broadly faced selling pressure, with Advanced Micro Devices down nearly 11%, and Nvidia and Broadcom down 4% and 5% respectively, while other major chipmakers were not spared. SanDisk fell 13% even though the data storage company reported fiscal 2026 first-quarter results above market expectations and announced an 8-for-1 forward stock split, under which shareholders holding 1 share will hold 8 shares after the split, still overwhelmed by heavy selling across technology stocks.