Stock Market Falls After Hitting Record Highs. What Changed Overnight?

BeInCrypto2026/10/07 21:57

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Wall Street went from celebration to caution in less than 24 hours. On Tuesday, the SP 500 climbed 0.6% to a record close of 7,818.93. The Nasdaq also reached a new high as falling bond yields and another surge in AI stocks pushed investors back into equities. By Wednesday, that momentum had disappeared. Industrials were the weakest SP 500 sector. Homebuilders fell 2.9% and chip stocks lost 1.2%. Nvidia slipped around 0.7%, while SpaceX fell 2.5%. Caterpillar plunged nearly 6% after US regulators launched an inquiry into competition in the agricultural equipment market. Nvidia Stock Turns Red on Wednesday, September 7, After Hitting Record Highs. Source: Yahoo Finance Why Did US Stocks Fall? Treasury yields surged again The 30-year US Treasury yield reached a 24-year high, while the 10-year briefly moved above 5.3%. Higher bond yields give investors an increasingly attractive alternative to stocks. They also reduce what investors are willing to pay today for future corporate profits, putting particular pressure on expensive growth stocks. Oil returned above $100 Brent crude remained around $100 as Middle East supply concerns returned. Expensive energy can push inflation higher and make it harder for the Federal Reserve to lower interest rates. The Fed offered little relief Minutes from Septembers meeting showed officials remain concerned about inflation. Markets currently see only a small chance of another hike in October, but investors still expect rates to stay restrictive. Investors took profits after the record The market had avoided the correction many investors expected this summer. Wednesday gave traders an excuse to lock in gains after another record close. Will Wall Street Bounce Back? For now, major Wall Street firms are largely expecting a slowdown rather than a collapse. Goldman Sachs, JPMorgan and Morgan Stanley all have 8,000 year-end targets for the SP 500. Citi and UBS see 8,100. From Wednesdays 7,801 close, that implies only modest upside. BofA is more cautious at 7,400, while Wells Fargo sees 7,700. That leaves the market sitting close to where many banks think it should finish the year. The next move may depend heavily on whether Treasury yields and oil retreat and whether the coming earnings season can justify stocks trading near record levels. Read the article at BeInCrypto

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SK Hynix has finalized the underwriting lineup for the U.S. IPO of its NAND flash memory subsidiary, Solidigm, choosing Goldman Sachs and Morgan Stanley as lead underwriters. The fundraising amount is approximately 10 billions USD. This marks the first time since SK Hynix acquired Intel's NAND and SSD business and established Solidigm that a clear independent capital operation path has been defined for this asset.

华尔街见闻•2026/10/08 03:21

Updated version 1 - Reports indicate Firmus is considering adjusting its $5 billions IPO plan, while Australia's Maas Group shares plunged 30%.

Reuters, October 8 – On Thursday, Maas Group's (MGH.AX) shares plummeted by as much as 30% following reports that Nvidia (NVDA.O)-backed AI company Firmus is considering adjusting the terms of its much-anticipated $5 billion IPO. The stock fell to AUD 4.47, marking its largest intraday drop and the lowest point since May 6, wiping about AUD 694 million ($483.37 million) off the construction services company’s market capitalization. Key details: - Maas holds a 3.2% stake in the data center operator and had previously pledged an additional AUD 300 million at a per-share price of AUD 230 for both common and preferred stock earlier in August (link). - In an exchange filing, Maas stated that speculation about whether the IPO would proceed as scheduled has put market sentiment under pressure and added that it is not aware of any undisclosed information to explain the trading situation. - Firmus lists OpenAI as an anchor customer and is preparing what would be the second-largest IPO in Australian history (link). Reports earlier this week suggested the company might lower its offering price from AUD 11 per share. - If this listing proceeds smoothly, it would be Australia’s largest IPO in nearly 30 years, second only to the approximately $10 billion IPO by leading telecom operator Telstra (TLS.AX) in 1997. - Prior to Thursday’s sharp drop, Maas Group’s shares had already risen about 44% over the past 12 months, with investors valuing its link to AI-driven data center construction. - Firmus has not yet responded to Reuters’ request for comment. ($1 = AUD 1.4358) (For the convenience of non-English speakers, Reuters provides its reports through automated translation in several other languages. Due to possible inaccuracies or lack of proper context, Reuters does not guarantee the accuracy of automated translations and provides these solely for reader convenience. Reuters assumes no responsibility for any damage or losses arising from the use of automated translation functions.)

路透社•2026/10/08 03:06

SK hynix (SKHY.US) subsidiary Flash Division reportedly selects Goldman Sachs and Morgan Stanley to lead, aiming for a US IPO in 2027

According to sources familiar with the matter, Solidigm, the flash memory subsidiary of SK hynix (SKHY.US), has selected the lead banks for its planned US IPO next year, with Goldman Sachs and Morgan Stanley responsible for the offering.

智通财经•2026/10/08 02:56