by Wolf Richter
Wolf Street
A 4% drop will put the Nasdaq back to Nov 2021. Amazon, Tesla, and Alphabet already back where they’d been 3 or 4 years ago. Nvidia -24% from peak.
Rate cuts are coming, they’re going to happen starting September 18. The stock market’s dreams are getting closer. Until July, rate cut mania whipped the market higher, and now that these dreams are lining up to become true, it’s getting ugly in some big corners of the stock market.
The S&P 500, after digesting the jobs report on Friday, fell 1.7% for the day and 4.2% for the four-day week, the biggest weekly drop since March 2023, to 5,408. But it’s still relatively well behaved, down only 4.6% from the peak in mid-July, compared to the nuts and bolts we’re going to look at in a moment (all stock data via YCharts):