Day Traders Diary

8/28/24

The major averages took it on the chin as investors were in risk off mode ahead of AI chipmaker, Nvidia's earnings. The Dow Jones Industrial Average fell 159 points after falling over 400 points. The S&P 500 fell 33 points or 0.53% while the Nasdaq fell 198 points after falling 300 points.

Wall Street has been focused on Nvidia all week, gauging the sustainability of the broader tech and AI trade. The semiconductor giant is down 2% as the chip sector is down for a second straight day. Nvidia is still up 150% in 2024, A dog for a second straight day is Super Micro Computer (SMCI) down 19% after falling over 2% yesterday on growing concerns of their accounting standards.

Defensive stocks were holding up better today with Bristol Myers and Gilead Science both up 2% on the day. Actual defense stocks are also performing well with General Dynamics up nearly 2%.

A number of retail earnings came out today. Foot Locker and Abercrombie and Fitch are both down over 10% on earnings. Kohls is lower as well on earnings while Nordstrom and Chewy are higher.

Bonds are quiet today as no economic data until Friday with the U.S. personal consumption expenditures data.