US Stocks Close Lower Ahead of Big Tech Earnings

US Stocks Close Lower Ahead of Big Tech Earnings

US stocks closed lower on Wednesday ahead of the start of earnings season for mega-cap technology companies.

The S&P 500 shed 0.1%, the Nasdaq 100 lost 0.5%, and the Dow Jones inched down.

Software stocks came under pressure before Alphabet's (-1.5%) results, with Microsoft down 1.9% and Meta retreating 2.6%.

The technology sector remained volatile as investors reassessed whether AI hyperscalers will continue expanding hardware spending.

Tesla dropped % ahead of its earnings release.

Most chipmakers rebounded from earlier losses, with Nvidia up 2.3%, Broadcom rising 2.7%, and AMD adding 1.4%.

Meanwhile, tensions between the US and Iran escalated after Iranian drone attacks targeted CIA facilities in the Gulf.

Oil prices extended gains, fueling inflation concerns and pushing yields higher.

Financials traded mixed, with Visa down 0.7% while JPMorgan gained 0.9%.

AT&T rose 3.5% after beating earnings estimates, lifting telecom stocks.

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