Tech selloff causes U.S. stock drop in year-end, with potential volatility in 2025

From Nasdaq: 2024-12-27 11:15:17

A sharp selloff in tech giants, the “Magnificent Seven,” caused U.S. stock indices to drop, ending a strong year. The S&P 500 and Nasdaq 100 fell, with Tesla and Nvidia leading the decline. Analysts noted a shift in investor sentiment, expecting a less euphoric start to 2025 with potential volatility from political or Fed news.

Market Overview: S&P 500 down 1.2%, Nasdaq 100 fell 1.8%. Bloomberg Magnificent 7 Index dropped 2.6%, led by Tesla and Nvidia. European stocks rose. 10-year U.S. Treasury yields stable, Bitcoin down 1%, WTI crude up 0.8%.

Advisors remain optimistic despite recent turbulence. Nasdaq still strong, dollar steady. Analysts predict a stable start to 2025 with caution due to potential rate policy changes and geopolitical risks. Investors are taking a wait-and-see approach as they enter the new year.



Read more at Nasdaq: Stock Market Research: Magnificent Seven Selloff Pulls Down U.S. Stocks as Year Ends