Nasdaq Composite Index Has Worst Session in 20 Months
US indices closed with sharp losses on Wednesday, pressured by big tech companies after disappointing results from Alphabet and Tesla.
On the economic data front, the S&P Global Composite Purchasing Managers' Index (PMI) for the United States showed that business activity rose in July to a 27-month high.
Performance of major US indices:
The Dow Jones Industrial Average fell 1.25%, or 504 points, on Wednesday to close at its lowest level in about two weeks.
The Nasdaq Composite Index fell 3.6%, suffering its biggest daily loss since October 2022, or about 20 months ago.
The S&P 500 index also fell about 0.15%, suffering its worst session in a year and a half.
Tesla shares
Tesla shares fell 12% on Wednesday, posting their biggest one-day loss in four years as the company lost $97 billion in market value in a single day.
The losses came after the electric car maker reported its lowest profit margin in more than five years.
Second-quarter earnings per share were 52 cents, versus expectations of 62 cents, and revenue was $25.5 billion, beating expectations of $24.8 billion.
Visa shares
Visa shares fell 4% on Wednesday to their lowest level this year after its third-quarter revenue growth fell short of expectations in a rare miss for the world's largest payments processor.
Visa's quarterly net revenue of $8.90 billion came in below analysts' estimates of $8.92 billion.
