ToplineThe Nasdaq and S&P 500 indexes dropped sharply Thursday and posted their worst trading days since late April, as tech stocks cooled off following a rally led by Apple and Nvidia on Wednesday that sent the indexes to all-time highs.The indexes are up more than 17% on the year. (Photo by Spencer Platt/Getty Images)Getty Images Key Facts The Nasdaq closed down 1.9% at 18,283.41, a decrease not seen since April 30, when the index closed down more than 2%. The S&P 500 closed at 5,584.54, also experiencing its worst drop (.88%) since April 30, when the index closed down 1.57%. The drops came amid large selloffs from tech stocks such as Nvidia (-5.57%), Meta (-4.11%), Microsoft (-2.48%) and Apple (-2.32%), the latter of which hit a record-high market capitalization of $3.57 trillion Thursday. Despite the losses, the Nasdaq and S&P 500 are still up big on the year, surging up 21.8% and 17.1%, respectively, since January.Get Forbes Breaking News Text Alerts: We’re launching text message alerts so you’ll always know the biggest stories shaping the day’s headlines. Text “Alerts” to (201) 335-0739 or sign up here.Key BackgroundThe drops from the indexes and tech stocks materialized following a consumer price index report from the Bureau of Labor Statistics that revealed a 0.1% decrease in consumer prices from May to June and a 3%, year-over-year increase. Consumer prices have not fallen on a month-to-month basis since 2020. Core inflation, which includes food and energy prices, was 3.3% last month, beating expectations that projected 3.4%.TangentThe report contributed to Thursday’s tech selloff, which also included Tesla. The electric vehicle maker’s shares dropped more than 8%, closing at $241.03 and putting a dent in a rally that began in late June, when Tesla’s stock was priced at $197.88 per share. The net worth of Tesla chief Elon Musk dropped by more than $12 billion Thursday to $245.7 billion, though the tech billionaire still retained his title as the world’s wealthiest person ahead of Amazon founder Jeff Bezos and LVMH chief Bernard Arnault.Further ReadingApple And Nvidia Stocks Boost S&P 500 And Nasdaq To All-Time Highs (Forbes)An ‘Imminent’ Stock Market ‘Correction’ Warning Suddenly Flashed Red—Just As The S&P 500, Nasdaq And Dow Hit Record Highs (Forbes)Follow me on Twitter or LinkedIn. Send me a secure tip.
Nasdaq And S&P 500 Post Worst Drops Since April Following Record-Breaking Gains
