How are stock-index futures trading:
S&P 500 futures are down 0.4%.
Dow Jones Industrial Average futures are off 0.2%.
Nasdaq 100 futures are dipping 0.6%.
On Tuesday, the Dow Jones Industrial Average fell 626 points, or 1.51%, to 40,937, the S&P 500 declined 119 points, or 2.12%, to 5,529, and the Nasdaq Composite dropped 577 points, or 3.26%, to 17,136.
“A near-10% one-day decline in Nvidia’s shares and a 3.3% drop in the Nasdaq index illustrate the fragility of the market. It goes to show that everything was not back to normal after markets quickly rebounded from their summer wobble, even thought it might have looked fine on the surface,” says Russ Mould, investment director at AJ Bell.
“The latest US manufacturing figures weren’t as good as expected, acting like a gust of wind to topple the house of cards and once again put markets into reverse amid fears about the strength of the economy…[and] compounding the latest market sell-off were reports the U.S. Justice Department sent subpoenas to Nvidia and other companies as it steps up antitrust investigations into AI chips,” Mould adds.
Nvidia’s shares are a touch lower again in premarket action.