Tech stocks kicked off the week on the negative note, driven lower by concerns over weaker-than-expected demand for Apple Inc. (NASDAQ:AAPL)'s latest iPhone 16 models.
Shares of Apple tumbled over 3% by midday in New York, heading for their worst session in more than a month. The sell-off in Apple spilled over to chip stocks, with Arm Holdings plc (NASDAQ:ARM) plunging more than 5%.
The broader semiconductor sector, tracked by the iShares Semiconductor ETF (NASDAQ:SOXX), declined by 2.2%, reflecting widespread apprehension in the industry.
Elsewhere in the market, the S&P 500 edged lower, while the Dow Jones and the Russell 2000 managed to buck the trend, posting modest gains for the day.
Bonds outperformed equities as Treasury yields dropped amid growing expectations of Federal Reserve rate cuts.
Over the weekend, investor sentiment shifted toward an interest rate cut for the upcoming Sept. 18 meeting, with markets now pricing in a 60% probability of a larger 50-basis-point rate cut.
Gold prices extended their gains, rising 0.3% to reach new record highs, marking the third consecutive session of increases. In the energy market, oil prices climbed 0.7%, and natural gas prices surged 4% on a more optimistic demand outlook.
Bitcoin (CRYPTO: BTC) wasn't spared from the sell-off in tech stocks, falling 2.5%.
Monday's Performance In Major U.S. Indices, ETFs
| Major Indices | Price | 1-day %chg |
| Dow Jones | 41,490.08 | 0.2% |
| Russell 2000 | 2,192.30 | 0.2% |
| S&P 500 | 5,621.31 | -0.1% |
| Nasdaq 100 | 19,377.78 | -0.7% |
According to Benzinga Pro data:
- The SPDR S&P 500 ETF Trust (NYSE:SPY) was 0.1% lower to $561.66.
- The SPDR Dow Jones Industrial Average (NYSE:DIA) rose 0.4% to $416.43.
- The tech-heavy Invesco QQQ Trust Series (NASDAQ:QQQ) fell 0.8% to $471.63.
- The iShares Russell 2000 ETF (NYSE:IWM) rose 0.2% to $217.28.
- The Financials Select Sector SPDR Fund (NYSE:XLF) outperformed, up 1.2%. The Technology Select Sector SPDR Fund (NYSE:XLK) lagged, down 0.7%.
Monday's Stock Movers
- Oracle Corp. (NYSE:ORCL) jumped 6% after multiple analysts raised their price targets for the stock.
- Lattice Semiconductor Corp. (NASDAQ:LSCC) surged over 11% following the appointment of its new CEO, Ford Tamer.
- In addition to Arm Holdings, other notable chipmakers that declined on Monday included Micron Technology Inc. (NASDAQ:MU), which fell 5.3%; Wolfspeed Inc. (NASDAQ:WOLF), down 9%; and Qorvo Inc. (NASDAQ:QRVO), which slid 7%.
- Nvidia Corp. (NASDAQ:NVDA) was 2% lower.
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This image was created using artificial intelligence MidJourney.