US Stock Indices Decline as Chip Stocks Weaken
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 01 2026
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Source: NASDAQ.COM
- Market Retreat: On Wednesday, the S&P 500 fell 0.74%, the Dow Jones Industrial Average dropped 0.63%, and the Nasdaq 100 declined 0.84%, indicating investor concerns about economic prospects as the market approaches year-end trading.
- Unemployment Claims Drop: US weekly initial jobless claims unexpectedly fell by 16,000 to 199,000, showcasing a robust labor market that could lead to hawkish implications for Fed policy, potentially increasing market volatility.
- Positive Chinese Economic Data: China's December manufacturing PMI rose to 50.1, surpassing expectations of 49.2, indicating strong economic recovery momentum that may positively impact global growth prospects.
- Gold and Mining Stocks Slide: With gold prices hitting a 2.5-week low, mining stocks generally declined, reflecting weakened demand for commodities that could affect the profitability of related companies.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
