Tech Shares Plummet, Bringing Overall Market Lower

Strategic Insights -

The sharp decline in tech shares on Thursday sparked a selling spree across other sectors, contributing to the overall market's downturn. Micron Technology, a major chip maker, experienced a significant drop after traders expressed concerns about its earnings, which are yet to be announced. Other tech giants, including Intel and International Business Machines, also retreated from their recent gains. The market's volatility was fueled by rumors of Nokia's potential acquisition of telecom technology company Qualcomm, as well as concerns about the outlook for online advertising.

Key Takeaways:

  • Micron Technology shares fell $5 to $85.88 due to concerns about its upcoming earnings.
  • Nokia shares dropped $4.75 to $56 on rumors of acquiring Qualcomm, with Qualcomm's shares rising $3.75 to $68.25.
  • Intel shares declined $4.94 to $134.06, and International Business Machines shares dropped $3 to $111.50.
  • Yahoo shares fell $11.13 to $131.69 following an analyst's concerns about online advertising.
  • Associates First Capital shares plummeted $1.38 to $21.88 due to expectations of a civil lawsuit by the U.S. Justice Department.
  • Texas Instruments agreed to acquire Burr-Brown in a $7.6 billion stock deal, with Texas Instruments issuing 1.3 shares of its common stock for each share of Burr-Brown.

Statistics:

  • Micron Technology's price drop: $5
  • Nokia's price drop: $4.75
  • Intel's price drop: $4.94
  • International Business Machines' price drop: $3
  • Yahoo's price drop: $11.13
  • Associates First Capital's price drop: $1.38
  • Texas Instruments' acquisition of Burr-Brown: $7.6 billion
  • Texas Instruments' shares issued for each share of Burr-Brown: 1.3 shares

Sources:

  • Financial news article, exact date and publication not specified
  • The Wall Street Journal, exact date and publication not specified