Global Markets Hit by Tech Stock Selloff
The major averages were mixed near midday amid a broad tech selloff that has continued from yesterday. Global markets in Asia took a hit overnight as chip names including Micron and Nvidia were in sharp decline. Investors appear increasingly focused on whether enormous capital spending commitments across AI infrastructure, data centers and chips can justify current valuations.Interest rates are also back in focus. Markets have become more sensitive to the possibility of tighter monetary policy expectations, which tends to hit long-duration growth assets the hardest. Higher rates reduce the present value of future earnings, making richly valued technology stocks especially vulnerable to sentiment shifts.Get caught up quickly on the top news and calls moving stocks with these five Top Five lists.1. STOCK NEWS:Major AI names Micronand NvidiaareCarnivalreportedand provided its outlook for Q3 and FY26Edgewell Personal Carehas rejected an unsolicited offer from Yellow Wood,Primorisslashed its, citing "additional challenges and cost overruns" identified as a result of projects in the company's renewables businessDomino's Pizza, with the current Chief Operating Officer named as his successor2. WALL STREET CALLS:JPMorganIBMto Overweight into software accelerationNikeat Evercore ISI on potential for another resetSusquehannaSpaceXat Neutral, says wait for lower priceWolfeTargetto Outperform, named as top-pick into year-endRoss Storesto Equal Weight at Wells Fargo on valuation3. AROUND THE WEB:California drivers filed a proposed class action accusing gas station operators, including BP, Walmart, Marathon Petroleum, Albertsons, Circle K, and 7-Eleven, of using an AI-based pricing platform from Kalibrate to coordinate gasoline prices and inflate costs at the pump, Reuters saysChina is adding 10 U.S. companies, including MP Materialsand Teal Drones, to its export controls and is banning government purchases from 46 US companies, including Anduril, Nikkei Asia reportsMetainternally exposed data from its employee-tracking program meant to help train its AI models, including full prompts and private conversations, Wired saysWorkdaymust defend claims that its AI-powered hiring software unlawfully screened out job applicants, after a federal judge ruled that California anti-discrimination laws may apply even to applicants outside the state seeking jobs elsewhere, Reuters reportsShopifyplans to ban vapes from its platform following pressure from a group of U.S. state attorneys general aiming to reduce the sales of illegal e-cigarettes online, Reuters says4. MOVERS:Blackblazeincreases after entering a five-yearwith CoreWeave (CRWV)Bed Bath & Beyondgains after Wedbushwith an Outperform ratingInfleqtionhigher after President Trumpon quantum computingAMClower after announcing the pricing of aQualcommfalls afterthe company is in advanced discussions to acquire Modular5. EARNINGS/GUIDANCE:Sunbelt Rentalsand provided guidance for FY27Interactive Strengthfor Q2Korn Ferry, with CEO Gary Burnison "very pleased" with the quarterly performanceKeurig Dr Pepperfor FY26Jiayin Groupwith EPS lower year-over-yearINDEXES:Near midday, the Dow was up 0.04%, or 19.85, to 51,732.56, the Nasdaq was down 1.78%, or 465.35, to 25,701.25, and the S&P 500 was down 1.19%, or 89.02, to 7,383.77.
