Stock Market Today, June 16: Nvidia, Broadcom, and Micron Technology Lead Drop in Nasdaq

The S&P 500 (^GSPC 0.57%) fell 0.57% to 7,511.35, and the Nasdaq Composite (^IXIC 1.15%) dropped 1.15% to 26,376.34 on tech and chip weakness. The Dow Jones Industrial Average (^DJI +0.64%) rose 0.64% to 51,999.67, closing a four-day winning streak at a fresh record high.

Market movers

Artificial intelligence (AI) infrastructure player CoreWeave jumped almost 10% today on bullish analyst sentiment. However, many popular tech and chip stocks, such as Nvidia, Broadcom, Micron Technology, and Advanced Micro Devices, fell — potentially due to profit-taking — as the recent rebound lost steam. Robinhood Markets slid after announcing layoffs, while optimism about a potential FDA approval for its flu vaccine boosted Moderna.

What this means for investors

Tech stocks lagged today as investors favored the industrial, transportation, and financial sectors on the back of cooling oil prices. The rotation did not stop Space Exploration Technologies Corp. from continuing its post-IPO surge, though the record-breaking stock did pare some of its gains in afternoon trading.

There’s wary optimism about an end to the U.S.-Iran conflict, but with no concrete details of the deal, caution won out. The Federal Reserve began its first meeting under new Chair Kevin Warsh. Warsh will almost certainly leave rates unchanged in tomorrow’s post-meeting announcement, but investors will be watching for signs of a new Fed direction.

Today’s mixed trading is a reminder of the importance of regularly re-evaluating your holdings. It can be hard to know when to take profits, but when prices are near record highs, it may be time to rebalance your portfolio.