Arab Today, arab today tech selloff highlights cautious wall street sentiment
Last Updated : GMT 14:14:15
Arab Today, arab today
Arab Today, arab today

Tech selloff highlights cautious Wall Street sentiment

Arab Today, arab today

Arab Today, arab today Tech selloff highlights cautious Wall Street sentiment

New York - AFP

A second week of tech stock selloffs and the flop of the "Candy Crush" IPO showed Wall Street now wants more concrete reasons to bid up stocks after a five-year bull run. Blue chips stocks, as measured by the Dow Jones Industrial Average, barely held up in the week to Friday, and the broader S&P 500 only took a minor loss. But huge volatility came with some real selling that reflected worries about the Ukraine crisis, still sluggish US growth, as well as the sagging Chinese economy. And while the Federal Reserve's repeated assurances of ultra-low interest rates well into 2015 has kept investors liquid, it is increasingly clear that they want to see more growth and earnings from companies before chasing their shares higher. The Dow ended the week with a 0.12 percent gain, to 16,323.06. The S&P 500 fell 0.8 percent to 1,857.62. But the Nasdaq Composite Index, more populated with technology listings, lost 2.8 percent for the period. The severity of the tech selloff was masked by small gains by giants Microsoft and Apple. Beyond them, it was mostly losses. Google fell 5.3 percent, Amazon 6.2 percent, Yahoo 5.4 percent, Yelp 8.4 percent, Facebook 10.8 percent, Twitter 7.1 percent, and Netflix 11.6 percent. And Tesla, the electric car maker being treated as a tech startup, finished the week 7.2 percent lower. Sectorally, biotechnology was hit particularly hard. Nasdaq's biotech index lost 2.8 percent Friday and 7.0 percent for the week. Gilead Sciences gave up 4.9 percent in the period, and Biogen Idec was down 7.7 percent. As if to underscore that message of nervousness about overvaluation in tech, King Digital, the maker of the addictive game mobile Candy Crush, was the week's big IPO and its big flop. The company's shares were subscribed at $22.50, valuing the so far one-hit-wonder at $7.1 billion. But they sank immediately upon hitting the market Wednesday and ended the week off nearly 20 percent at $18.08. "The market is going through a correction underneath the surface," said Tom Cahill of Ventura Wealth Management. "When you look at the S&P 500, it is down just a little bit from its all-time intraday high." "But underneath, quite a number of companies have actually started to correct. In the Russel 1000 index, more than half are down more than 5 percent," he added. Cahill said the losses are not a bad thing. It mainly means that investors are tilting away from the high-growth, high price-earnings ratio companies. Instead, they "are looking for a home somewhere else that is a little more safe." "Clearly this not 2013," said Michael Gayed of Pension Partners. "This is somewhat of a shock for some investors. Investors to some extent are questioning valuation, especially on the small caps." He said there is also nervousness about overshooting valuations as the first quarter earnings season approaches.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today tech selloff highlights cautious wall street sentiment Arab Today, arab today tech selloff highlights cautious wall street sentiment

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today tech selloff highlights cautious wall street sentiment Arab Today, arab today tech selloff highlights cautious wall street sentiment

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today Russia and Iraq restore air travel

GMT 11:40 2017 Monday ,18 September

Russia and Iraq restore air travel
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today 600,000 children may flee to Bangladesh

GMT 06:49 2017 Monday ,18 September

600,000 children may flee to Bangladesh
Arab Today, arab today Equifax executives step down

GMT 16:16 2017 Saturday ,16 September

Equifax executives step down
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Ministry seeks to improve education

GMT 14:49 2017 Sunday ,17 September

Ministry seeks to improve education
Arab Today, arab today New Zealand opposition looks

GMT 10:35 2017 Thursday ,14 September

New Zealand opposition looks
Arab Today, arab today 5,000 'Dieselgate' deaths in Europe per year

GMT 19:18 2017 Monday ,18 September

5,000 'Dieselgate' deaths in Europe per year
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Five trends at the Frankfurt auto show

GMT 12:04 2017 Monday ,18 September

Five trends at the Frankfurt auto show
Arab Today, arab today Renault-Nissan to launch

GMT 10:44 2017 Saturday ,16 September

Renault-Nissan to launch
Arab Today, arab today Eman Al Assy receives three offers

GMT 06:31 2017 Saturday ,16 September

Eman Al Assy receives three offers
Arab Today, arab today 'Severe' Typhoon Doksuri pounds Vietnam

GMT 15:49 2017 Friday ,15 September

'Severe' Typhoon Doksuri pounds Vietnam

GMT 11:10 2017 Friday ,15 September

Fadl Shaker retreats from surrendering himself

GMT 05:05 2017 Tuesday ,12 September

Pregnant woman's suicide roils China

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 10:25 2017 Thursday ,14 September

Greece fumbled oil spill response

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 04:45 2017 Sunday ,17 September

France's hurricane-hit St Martin

GMT 11:53 2017 Saturday ,16 September

Jolie effect helps Namibian tourism

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 12:56 2017 Friday ,15 September

Apple's grand plan in Ireland held up by a forest

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday