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Tech stocks took a drubbing on Wednesday after lackluster Alphabet Inc. and Tesla earnings stirred up worries that Big Tech's power to fuel gains is fading. The benchmark S&P 500 tumbled more than 2% for the first time in more than a year, while the Dow Jones Industrial Average dropped about 1.2%. The tech-heavy Nasdaq Composite led the losses, falling about 3.6%, for its worst day since October 2022. Stocks sunk as investors digest mixed quarterly earnings from Google parent Alphabet and Tesla, the first of the "Magnificent 7" megacaps to report. EV maker Tesla's stock price slid more than 12%, while Alphabet shares dropped more than 5%. In aggregate, the Magnificent 7 (MAGS) tech stocks lost more than $750 billion in market cap on Wednesday, the worst day on record for the group. Chip stocks also tumbled on Wednesday as NVIDIA fell almost 7% while Broadcom and Arm each dropped about 8%. More: https://lnkd.in/ecQgr5Wt #yahoofinance #finance #techs #stocks #markets #money #investing

Tesla reported mixed second quarter results on Tuesday, sending shares down 10% in early trading on Wednesday. On the earnings call, CEO Elon Musk said the company would reveal its robotaxi on October 10, which was originally slated for August 8. Musk said the extra time would allow Tesla to add "a couple other things" to the robotaxi prior to its unveil. https://yhoo.it/4diWRVf

The Bank of Canada cut its benchmark interest rate by 25 basis points on Wednesday for the second consecutive time, a widely expected move that brings its policy rate to 4.5 percent. The rate cut comes as inflation moderated to 2.7 percent in June, with price pressures broadly easing. At the same time Canada’s labour market has stalled, as job growth has struggled to keep pace with the country’s surging population and it takes longer for people to find work. Economic growth also remains sluggish, falling short of its potential output. https://yhoo.it/4fgu45c

Another day hosting Wealth! on Yahoo Finance and we have a packed show. Highlight: Nobel Prize-winning economist Paul Krugman joins the show. We’re talking Elon Musk, the election, the economy and so much more. Plus - how should you play the recently launched ether ETFs? And what’s the biggest 401k rollover mistake job switchers make? We've got it all covered. Check it out live right now below ⤵ https://lnkd.in/eBGhNip7 #money #business #wealth #live #economy #election

The Biden administration weighs tighter trade restrictions on chip exports to China. Additionally, former President Trump — now the confirmed Republican nominee — commented that Taiwan should be paying the US more for defense in case of a conflict with China in an interview with Bloomberg. All of this is adding pressure to semiconductor stocks like NVIDIA, TSMC, ASML, and AMD. "These are two very large economic powers competing within a single system... a global economy. I expect there to be a lot of very sharp rhetoric in the next three and a half or four months in the run-up to the US general election in November of this year," KraneShares Managing Director David Adelman tells Yahoo Finance. "There is bipartisan consensus in the US Congress and really throughout Washington that is forming or has formed around a more hawkish, more muscular policy towards China. But, nonetheless, there's also, a clear recognition that the US economy and Chinese economy are interdependent." More: https://lnkd.in/ez_a433m #yahoofinance #finance #business #tech #ai

Nearly $50 billion. In just over four years, Meta’s Reality Labs division — focused mainly on its products in augmented reality (AR), virtual reality (VR), and the metaverse — has lost as much money as the market caps of Snap Inc. and Pinterest combined. Insiders tell Yahoo Finance that the staggering cash burn is not the price of innovation, but rather the result of a “chaotic” culture that features frequent reorganizations and installation of top leaders without AR or VR expertise. With Meta CEO Mark Zuckerberg warning that operating losses in Reality Labs will only continue to “increase meaningfully,” Yahoo Finance spoke to a dozen former high-level employees (mostly executives or managers across multiple segments including engineering, research, product management, hardware, content, and operating systems) who say the lack of a clear vision and mismanagement are largely to blame for Reality Labs' financial pitfalls. The former employees Yahoo Finance spoke with left within the last three years, with the earliest departing in February of 2021 and the most recent ones this year. The majority left on their own because of what they called discord within Reality Labs, but some left due to structural layoffs. More: https://lnkd.in/ee24YWXD #yahoofinance #finance #tech #AI #meta #business

The video game industry is reaching outside of its comfort zone as audiences are seeing exposure to more video game adaptations, TV series, M&A activity between studios, and even partnerships with popular streaming services. "The overall entertainment industry is large, it's a significant part of the global economy. And gaming is the biggest part of that — it's a $200 billion business today. It's bigger than streaming, bigger than the movie box office. Across the globe, 3 billion people play video games," former Nintendo of America President and COO Reggie Fils-Aime explains. An industry veteran, Fils-Aimé held the positions of Nintendo of America president and COO from 2006 to 2019. He believes the gaming industry is "poised for an upswing" following post-pandemic contractions from game studios and consumers. Fils-Aimé weighs in on rising trends in gaming, including VR and AR headsets — namely Apple's costly Vision Pro — and cloud gaming technology. More: https://lnkd.in/eKZNEw_X #yahoofinance #finance #tech #AI #VR #gaming #business #money

Google parent Alphabet reported its fiscal second quarter earnings after the bell on Tuesday, beating analysts' estimates on the top and bottom lines, as its cloud businesses continue to pick up steam, topping the $1 billion mark for operating profit for the first time. https://yhoo.it/3A3ttDL

Tesla reported mixed results for Q2, but said new and affordable EVs will be built on the same assembly lines as current vehicles, meaning they will be cheaper to build and coming in the first half of 2025. The company did not however give an update on its robotaxi reveal date, which has been delayed from an original August 8th debut. Tesla said it would be built using the company's next-gen "unboxed" production method, which implies production of the vehicle could be some time away.

Tesla reported mixed second quarter results after the bell on Tuesday that sent shares sliding. The EV-maker did say it was on track for production of new vehicles — likely a cheaper EV — in the first half of 2025. Tesla also said its growth rate in 2024 would be "notably lower" than what it achieved in 2023. https://yhoo.it/3Wxxdqa