Stonks: Nasdaq slump, NVDA down, AMZN prime day, and more

Apple, Nvidia headline $500 billion slump as Nasdaq limps to worst day since 2022

• Reddit sentiment: mixed/positive

• Tech-heavy Nasdaq Composite index had its worst day since December 2022

• Nvidia and Apple faced downward pressure due to concerns about their China units

• The "magnificent seven" mega-cap tech stocks, including Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia, and Tesla, declined more than 1% and shed over $500 billion of aggregate market value

• Investors are betting on significantly lower interest rates and favor Trump in the presidential election

• Small-cap Russell 2000 rallied 9.1% over the past week, showing investor belief that lower rates can stimulate earnings growth across corporate America

• S&P's energy and financial sectors are up 4% over the past week, beating tech and communication services

• Nvidia and Meta stocks entered correction territory with Nvidia down 10% and Meta down 13% over the week

• Traders expect Federal Reserve to lower interest rates from a 23-year high beginning in September

• Chief Critic warns against making portfolio adjustments based on election outcomes

Nvidia, ASML, and TSMC stocks are getting hammered

• Reddit sentiment: negative

• NVIDIA ($NVDA), ASML, and TSMC stocks are down over 5% due to investor concerns and export restrictions

• Biden administration considering tighter restrictions on exports to China, impacting chip stocks

• ASML stock had steepest decline on Wednesday due to weaker revenue forecast

• Former president Donald Trump's comments on Taiwan caused TSMC stock to drop over 7%

• Intel ($INTC) and GlobalFoundries (GFS) stocks were up as they may benefit from onshoring chip production

• Investors have been rotating out of big-cap tech stocks into small-cap stocks due to optimism on Federal Reserve cutting rates.

Amazon Announces Record-Breaking Sales for 2024 Prime Day Event

• Reddit sentiment: mixed/negative

• Amazon (AMZN) announced record-breaking sales during Prime Day 2024

• Millions more Prime members shopped compared to the previous year

• Independent sellers sold over 200 million items during the event

• Rufus, Amazon's new AI shopping assistant, helped millions of customers

• U.S. Prime members consolidated deliveries on millions of orders, saving 10 million trips

• Financial analysts are positive about the impact on Amazon's revenue and long-term growth

• Tech experts see the introduction of Rufus as enhancing user experience and potentially setting a new standard for e-commerce

• Market research analysts highlight the shift towards e-commerce and the significance for small and medium-sized businesses during Prime Day 2024

Why your port is getting nuked today

• Reddit sentiment: mixed

• Monthly options and VIX options expiring causing market volatility

• Bearish news for semiconductor companies (TSM, NVDA)

• ASML's disappointing earnings

• Potential increase in restrictions on chip sales to China

• Big Tech affected due to semiconductor dependency and market dominance

• Higher impact of bearish news due to increased market volatility

• Likely volatility to decrease next week after options expiry and OPEX

Here’s some other headlines we couldn’t squeeze in:

• INTC redux

• INTC 100% Upside Potential

• $266k gain on SPY calls

• TSMC second-quarter profit beats expectations as AI chip boom continues

• The last time there was negative news regarding semiconductor companies, NVDA went up 16% within 5 days

• Top Federal Reserve officials stated today that the U.S. central bank is "CLOSER" to cutting interest rates.

• Highest drop in global chip stocks since the 2020 pandemic