Cyclicals Lead While Tech Gets Hammered Again
On Tuesday, the Dow was the strongest performer with investors moving into cyclical stocks like Walmart. Investors also showed interest in Caterpillar. But this came at the expense of major technology issues including Nvidia and Microsoft which lost more than 2% each. The sell-off also spread to big-name artificial intelligence infrastructure names, Broadcom, Oracle and Micron, according to CNBC.
AMD Plunges 9% on Weak Guidance — Software Extends Bear Market
Overnight, Advanced Micro Devices (AMD) was a big loser, dropping 9% after its first quarter forecast failed to impress analysts. Sellers continued to hit Broadcom and Micron too. Software stocks, which fell into a bear market last week, were also under pressure with Oracle and CrowdStrike extending losses in pre-market trading.
Other stocks on the move ahead of the opening were Super Micro Computer, up 9%, Silicon Laboratories, up 50%, and Take-Two Interactive Software, up 5%.
ADP Payrolls Miss — Just 22,000 Jobs Added in January
In economic news, ADP reported that private payrolls rose just 22,000 in January, below the 45,000 jobs forecast.
