S&P, Nasdaq down as Nvidia falls back for second day
The S&P 500 and Nasdaq fell slightly overnight after Nvidia shares dropped for a second day, dragging down the technology sector. Technology was the biggest loser among the 11 major S&P 500 sectors, weighed by Nvidia, while communication services led the gain. “It's Nvidia's game, and the rest of us are just pretending to be here,” said Michael Green, chief strategist at Simplify Asset Management in Philadelphia. "Basically all the activity is now concentrated in Nvidia call options," he added. "Seven million option contracts Nvidia have traded. That's something in the neighborhood of three or four times the quantity of contract volume that would have traded for the market in total five years ago." The Dow Jones rose a tenth of a percent, to 39,162. The S&P 500 lost a fifth of a percent, to end at 5,468, while the Nasdaq lost a fifth of a percent, to 17,693. Shares of megacaps Microsoft, Alphabet, Amazon.com and Apple rose. “We've had a very strong run, especially in the S&P over the last couple weeks. So not surprised to see things kind of take a pause and settle down,” Zachary Hill, head of portfolio management at Horizon Investments in Charlotte, North Carolina. Friday's trading could be more volatile than usual due to triple witching, the simultaneous expiration of stock options, stock index options, and stock index futures. U.S. business activity reached a 26-month high in June amid a rebound in employment, while easing price pressures suggested the recent inflation slowdown may continue. (Reuters)