The broader NASDAQ indices have surrendered their early gains and moved into negative territory, reversing a stronger start to the session.

The NASDAQ Composite Index had been up 362.46 points at its session highs but is currently trading down 56.28 points at 25380, a round trip of more than 400 points from its best levels of the day. The NASDAQ 100 index, which had been ahead by 368.55 points, has also turned lower and is now down 140.34 points at 28244 — a swing of more than 500 points from its highs. The S&P index has held on to a slim gain of 6.65 points after trading as much as 82.16 points higher, a divergence consistent with the tech-heavy weighting of the NASDAQ benchmarks.

From a technical standpoint, the 200-day moving average — a widely followed gauge of an index's longer-term trend — for the Nasdaq Composite index comes in at 25065, while the 38.2% retracement of the move up from the March low sits at 25036. The low price for the day reached 25380.72, keeping the index above both reference levels so far. For the Nasdaq 100, the 200-day moving average stands at 27940.95, with the session low at 28244.50, which also remains above that mark. A move below the 200-day moving averages for each index would increase the bearish bias technically, making them key levels to watch as the session develops.

Magnificent 7 Mixed as Apple Declines Ahead of Earnings

The Magnificent 7 are mixed in the latest trading snapshot, with Amazon leading the buyers. Amazon shares are up $8.43, or 3.51%, at $248.78. Tesla is also moving higher, gaining $6.31, or 1.58%, to $406.13, while Alphabet is up $3.74, or 1.34%, at $283.58. Nvidia is little changed, adding $0.28, or 0.14%, to $204.92.

On the downside, Apple is the weakest performer, falling $7.72, or 2.24%, to $336.91 ahead of its earnings report due after the close — the group's next scheduled catalyst. Microsoft is down $4.64, or 0.89%, at $517.27, while Meta is lower by $4.05, or 0.66%, at $610.94. The performance highlights a selective recovery, with buyers supporting some names while others remain under pressure.

Intel Extends Post-Earnings Decline

Intel, meanwhile, continues to struggle after last week's sharp post-earnings decline. Shares are down another $5.02, or 7.63%, at $60.74 in the latest snapshot. The earnings report showed revenue growth of 21% and data-center and AI revenue growth of 78%, but the outlook pointed to weaker sequential revenue and margins, continued PC-market headwinds, and supply constraints. Those concerns help explain why strong backward-looking results have failed to reassure investors.

For buyers of Intel stock, the first job is to stall the fall and establish a base. With the shares extending their losses today, there is still little evidence in this snapshot that sellers are giving up control.

AI and Chip Stocks Continue to Get Hit Hard

AI and chip-related stocks remain under heavy selling pressure. Lumentum leads the declines, falling 18.07% to $688.75, followed by Marvell, down 11.84% to $173.15, and Astera Labs, lower by 9.58% at $233.92.

The selling extends beyond the chipmakers. Nebius is down 7.67%, CoreWeave has fallen 7.60%, and Western Digital is lower by 6.52%. Datadog, Credo, and AMD are also down more than 6% each.

Although parts of the Magnificent 7 are finding buyers, the broader AI and semiconductor basket tells a weaker story. Investors remain selective, and sellers continue to control the price action across much of the AI infrastructure trade.

The names in the AI and chip sector break down into five separate industry groups:

• Semiconductors and connectivity chips: Intel, AMD, Marvell, Astera Labs, and Credo. These companies supply processors or chips that move data within and between AI systems.
• Optical networking and photonics: Lumentum, which supplies optical components used in high-speed data-center connections.
• AI cloud infrastructure: Nebius and CoreWeave, which provide computing capacity and infrastructure for AI workloads.
• Data storage: Western Digital, which supplies hard drives used in data centers and other storage applications.
• Cloud software and monitoring: Datadog, which provides tools to monitor applications, cloud infrastructure, and system performance.

The breadth of the declines shows there is little in the way of winners in the broader group.