"Major Rotation": Investors Are Selling Off Chipmakers' Stocks After a Strong Rally
Photo: X / NYSE
The Nasdaq Composite technology index fell on Wednesday, July 1, due to a sell-off in chipmaker stocks. Analysts attribute this to profit-taking following the rally in the first half of the year. The Dow Jones Industrial Average, an index of blue-chip stocks, rose to a new all-time high during the day but then lost momentum and closed slightly lower.
Details
— The S&P 500 broad-market index fell 0.21% on June 1.
— The Dow Jones Industrial Average, a "blue-chip" index, fell 0.02% on Wednesday. During the day, it was on track for a third consecutive record high, but lost its gains before the market closed.
— The Nasdaq Composite technology sector index fell by 0.66%.
— The Russell 2000 Small- and Mid-Cap Index fell 0.1% over the course of the day.
— Brent crude oil futures fell 2.4% to $71.2 per barrel, while WTI futures fell 2% to $68.12 per barrel.
What People Are Saying in the Market
“The ‘Great Rotation’ continues into the third quarter: the ‘boring blue-chips’ of the Dow Jones Industrial Average continue to attract inflows directly from funds freed up after recent profit-taking in tech stocks,” — Jeff Kilburg, founder and CEO of KKM Financial, told CNBC. — “This is an extremely healthy trend that underscores the broadening participation of stocks in the ongoing bull market, now in its fourth year.”
This news story is being updated
This article was AI-translated and verified by a human editor
