Tech Stocks Tumble Ahead of Federal Reserve Decision
Technology stocks weighed heavily on the Nasdaq and the S&P 500 on Monday as investors remained cautious ahead of a key monetary policy decision by the Federal Reserve. Analysts anticipate a significant cut in borrowing costs, affecting rate-sensitive stocks the most.
The semiconductor sector saw notable declines, with Nvidia dropping 2%, Broadcom losing 3.4%, and Qualcomm down by 1.5%. Other growth stocks like Apple also faced downturns, plunging by 3% due to weaker-than-expected demand for new iPhones, according to analysis by TF International Securities.
On the other hand, Intel climbed 3.4% after qualifying for federal grants to produce semiconductors for the U.S. Department of Defense. Boeing, however, dipped 1.3% amid hiring freezes and potential furloughs. As the market awaits the Fed’s decision, financials rose 0.90%, although markets remained largely subdued.
(With inputs from agencies.)