NEW YORK, June 24 —
- Market Selloff: The Dow Jones Industrial Average dropped more than 537 points, while the S&P 500 and Nasdaq Composite also declined sharply.
- Tech Weakness: Major chip stocks including Intel, AMD, Micron, and Nvidia posted steep losses amid profit-taking.
- Treasury Yields: The 30-year U.S. Treasury yield climbed above 5.1%, pressuring growth stocks.
- Oil Surge: WTI crude settled at $105.42 per barrel, while Brent crude closed at $109.26.
- Trump-Xi Summit: Investors reacted cautiously after U.S.-China talks ended without major economic agreements.
- Microsoft Gains: Microsoft rose about 3% after activist investor Bill Ackman disclosed a position.
| Index / Asset | Value | Daily Move |
|---|---|---|
| Dow Jones Industrial Average | 49,526.17 | -537.29 points (-1.07%) |
| S&P 500 | 7,408.50 | -1.24% |
| Nasdaq Composite | 26,225.14 | -1.54% |
| WTI Crude Oil | $105.42/barrel | +4.2% |
| Brent Crude Oil | $109.26/barrel | +3.35% |
| 30-Year Treasury Yield | Above 5.1% | Higher |
Stocks Retreat as Tech Momentum Fades
U.S. equities closed sharply lower Friday as investors pulled back from technology shares following weeks of strong gains, while rising Treasury yields added pressure to growth-focused sectors.
The Dow Jones Industrial Average lost more than 500 points, while the S&P 500 and Nasdaq Composite posted broad declines led by semiconductor and artificial intelligence-related stocks.
Chipmakers were among the biggest laggards. Intel fell more than 6%, while Advanced Micro Devices (AMD) and Micron Technology each dropped sharply. Nvidia, a major driver of the AI rally, also moved lower.
Market analysts said the selloff reflected profit-taking after an extended rally in high-growth technology shares.
Rising Yields and Oil Prices Weigh on Sentiment
Investor caution intensified as Treasury yields climbed, with the 30-year bond yield rising above 5.1%.
Higher borrowing costs tend to weigh on growth companies by reducing the present value of future earnings. Concerns about inflation also resurfaced as oil prices climbed amid tensions involving Iran and uncertainty around energy supplies.
U.S. crude futures settled above $105 per barrel, while international benchmark Brent crude approached $110, fueling worries that energy costs could sustain inflation pressures.
Trump-Xi Summit Fails to Excite Markets
Markets also reacted negatively to the conclusion of a summit between President Donald Trump and Chinese President Xi Jinping, where investors had hoped for broader economic or trade breakthroughs.
Although both sides reportedly agreed on the importance of keeping the Strait of Hormuz open for shipping, traders viewed the outcomes as limited.
Shares of Boeing extended losses after comments about expanded Chinese aircraft purchases failed to exceed market expectations.
Rally Faces Broader Market Questions
Despite Friday’s decline, U.S. stocks remain near record highs after months of enthusiasm surrounding artificial intelligence investments.
However, some market participants say leadership concentrated in a small group of technology companies could leave the rally vulnerable if momentum weakens.
