The Nasdaq fell 2.2 percent and the S&P 500 1.2 percent on Thursday, July 23, the worst session for both since June 23. Two things did it at once: Alphabet’s enormous new capital spending guidance spooked the AI trade, and Brent crude closed above $100 after Houthi attacks on Saudi tankers.
The Dow closed at 53,055.91 on Monday, its first finish above 53,000, after Foxconn posted a blowout AI-driven quarter that revived the chip trade. Tesla jumped 6.7 percent, the Nasdaq rose over 1 percent, and Fed minutes from Kevin Warsh’s first meeting land Wednesday.
US stocks roared back on Monday to start the final week of the quarter, with the Dow Jones Industrial Average closing above 52,000 for the first time ever. Alphabet jumped more than 4 percent after joining the index, and the Nasdaq led the way with a 2 percent gain. All eyes now turn to Thursday’s jobs report.
Micron jumped 17 percent after crushing earnings. But Apple fell 6 percent and Microsoft fell 3 percent on price-hike news, and the S&P 500 and Nasdaq still closed lower. The same memory shortage is both a windfall and a wound.
The S&P 500 fell 1.4%, the Nasdaq 100 dropped 3.3%, Nvidia lost nearly 4%, and SpaceX pulled back sharply from its IPO highs. Investors are not doubting AI exists. They are doubting whether the spending generates returns fast enough.
Marvell Technology officially entered the S&P 500 on June 22 after being up 260% in 2026. The stock fell nearly 4% on its first day in the index. The pattern has a name: sell the news. Here is how it works and what it means for the AI trade.