S&P 500, Nasdaq Dragged by Nvidia as Tech Turns Sour

After all three major indexes spent most of the day in the red, only the Dow was spared in the end. The blue-chip index's early pullback was pared by session close, while the tech-heavy Nasdaq and S&P 500 remained firmly lower. Amidst the sticker shock of AI valuations, the Cboe Volatility Index (VIX) rose as high as 20.54 in intraday trading but eventually settled below 20.

Nvidia (NVDA) was a drag on sentiment all session, as investor fears over the sustainability of AI reignited. Wall Street will be eyeing another batch of tech earnings tonight, including Dell Technologies (DELL) and Rocket Lab (RKLB). 

 Continue reading for more on today's market, including:

• Satellite stock to watch before earnings.
• More inflation data among next week's economic updates.
• Plus, quantum breaks new ground; Nvidia options trends; and stocks ripe for a squeeze.

 

5 Things to Know Today

1. Online sales platform eBay (EBAY) shared it will be letting go of nearly 6% of its employees to narrow in on "strategic priorities".
2. The U.S. Federal Trade Commission (FTC) has ordered Walmart (WMT) to pay $100 million in a settlement to delivery drivers. 
3. This quantum computing stock surged after earnings.
4. How are options traders handling Nvidia's earnings bust?
5. Short squeeze candidates for your portfolio.

U.S.-Iran Talks Remain a Pivot Point for Oil

U.S.-Iran nuclear discussion in Geneva, Switzerland were in focus today, while domestic crude inventories posted a rise of 16 million barrels for the previous week. March-dated West Texas Intermediate (WTI) crude added 1.8%, or $1.17, to settle at $66.59 per barrel.

Gold prices steadied as Middle East tensions simmered. April-dated gold futures slipped 0.6% to settle at $5,194.20 an ounce.