U.S. stock indexes closed mixed on Thursday, with the S&P 500 Index (SPX) slipping to a two-week low while the Dow Jones Industrial Average posted a fresh all-time high.
Apple (NASDAQ: AAPL) led declines across the S&P 500 and Dow Jones Industrials, falling more than 6% after raising prices on Macs, iPads, home devices, and the Vision Pro to offset cost pressures caused by a shortage of memory chips and storage.
The broader Magnificent Seven technology cohort compounded selling pressure, with Amazon.com (NASDAQ: AMZN) and Microsoft (NASDAQ: MSFT) each closing down more than 3%, and Meta Platforms (NASDAQ: META) falling more than 2%.
Nvidia (NASDAQ: NVDA) dropped more than 1%, Alphabet (NASDAQ: GOOGL) fell 0.46%, and Tesla (NASDAQ: TSLA) edged down 0.11%, adding to the weight on technology-heavy indexes.
Software stocks also fell broadly, with Atlassian Corp (NASDAQ: TEAM) dropping more than 8% and Palantir Technologies (NASDAQ: PLTR) sliding more than 5%, while ServiceNow (NYSE: NOW) and Workday (NASDAQ: WDAY) each lost more than 3%.
Chipmakers surged in the opposite direction, led by Micron Technology (NASDAQ: MU), which rallied more than 15% after forecasting Q4 revenue of $50 billion, well above the analyst consensus of $43.24 billion.
Sandisk (NASDAQ: SNDK) closed up more than 21%, Applied Materials (NASDAQ: AMAT) gained more than 13%, and KLA Corp (NASDAQ: KLAC) and Lam Research (NASDAQ: LRCX) each rose more than 7%.
Qualcomm (NASDAQ: QCOM) added more than 3% after forecasting annual sales of more than $15 billion from artificial intelligence components for data centers by fiscal 2029.
A raft of upbeat U.S. economic data provided additional support to markets, with Q1 GDP revised upward to 2.1% on a quarter-over-quarter annualized basis, beating expectations of no change from the prior 1.6% reading.
Weekly initial unemployment claims fell 12,000 to 215,000, stronger than the consensus forecast of 225,000, while May personal spending rose 0.7% month-over-month, ahead of the expected 0.6%.
May personal income climbed 0.7% month-over-month, surpassing expectations of 0.4% and marking the largest increase in ten months.
The May core PCE price index, the Federal Reserve’s preferred inflation gauge, rose 3.4% year-over-year, in line with expectations and the largest increase in two and a half years, helping push the 10-year T-note yield to a six-week low of 4.363%.
Oil markets added a note of caution after WTI crude rebounded more than 2% from a four-month low, following reports from UK Maritime Trade Operations that a cargo vessel was struck by an unknown projectile off the coast of Oman in the Strait of Hormuz.
Cryptocurrency-linked stocks fell sharply as Bitcoin dropped more than 2% to a one-and-three-quarter-year low, sending Strategy (NASDAQ: MSTR) down more than 9% and Coinbase Global (NASDAQ: COIN) lower by more than 5%.
Bio-Techne (NASDAQ: TECH) surged more than 20% after Merck agreed to acquire the company for approximately $11.3 billion, or $73 per share, providing one of the session’s brightest bright spots outside the chip sector.
