NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Dives As Intel Collapses 31%

SP500 Retreats As Traders Focus On Intel’s Earnings Report

SP500 is under strong pressure amid sell-off in the tech sector, which was triggered by Intel‘s earnings report.

Intel stock is down by -31% on weak sales forecast. The company expects sales of $15 billion – $16 billion in the fourth quarter, compared to analyst forecast of $17 billion. Intel also expects earnings of $0.25 per share, compared to analyst consensus of $0.43 per share.

Intel noted that high prices for memory put significant pressure on the personal computer market. Intel’s CEO Lip-Bu Tan also noted that the company’s data center unit suffered from shortages of some materials. According to Intel, the personal computer market will remain under major pressure in 2027.

The company’s results raised worries about AI’s impact on tech businesses. AI has already hurt bottom lines of many companies, while monetization has lagged.

I’d note that tech leaders are forced to invested boatloads of money into AI regardless of their financial results as they are afraid to be left behind in the key race of the century. Not surprisingly, the market is worried that these huge investments could cause financial problems for many companies.

Consumer defensive and utilities stocks gained ground in today’s trading session as demand for safe-haven assets increased. Energy stocks moved higher as traders prepared for the potential restart of the military operation against Iran. Tech stocks were among the biggest losers after Intel’s report. Basic material stocks have also found themselves under strong pressure amid sell-off in precious metals markets.

In case SP500 settles below the 7550 level, it will head towards the nearest support at 7515 – 7525. A move below the 7515 level will open the way to the test of the support at 7440 – 7450. RSI is in the oversold territory, so the risks of a rebound are rising.

NASDAQ Tests New Lows Amid Sell-Off In The Tech Sector

NASDAQ suffered a strong sell-off as traders rushed to sell tech stocks after Intel’s report. Intel was the worst performer in the NASDAQ index today. Sandisk, which was down by -15%, has also found itself under strong pressure.

Currently, NASDAQ is trying to settle below the support level at 28,250 – 28,300. In case this attempt is successful, NASDAQ will head towards the next support, which is located in the 27,800 – 27,850 range.

Dow Jones Tests Support At 51,700 – 51,800

Dow Jones is moving lower amid broad sell-off in the equity markets. NVIDIA, which was down by -5%, was the biggest loser in the Dow Jones index today. Rising demand for consumer stocks provided some support to Dow Jones in today’s trading session, but this support was not sufficient to push the index higher.

From the technical point of view, Dow Jones is trying to settle below the support level at 51,700 – 51,800. If Dow Jones settles below the 51,700 level, it will head towards the next support at 51,100 – 51,200. RSI remains in the moderate territory, so there is plenty of room to gain downside momentum in the near term.

For a look at all of today’s economic events, check out our economic calendar.