U.S. stocks plunged Thursday morning as December’s sell-off resumed after a rally in the previous session that failed to hold ground.
The S&P 500 (^GSPC) tanked 1.7% shortly after the open, while the Dow Jones Industrial Average (^DJI) shed nearly 450 points, or 1.4%. The technology-heavy Nasdaq Composite (^IXIC) tumbled 2.4% toward 2022 lows.
The moves come after all three major averages booked gains of at least 1.5% on Wednesday, boosted by a rebound in consumers’ attitudes on inflation and the broader economy and upbeat earnings from Nike (NKE) that at least temporarily curbed fears around the corporate outlook.
Poor results from Micron Technology (MU), however, soured the mood. The largest U.S. manufacturer of memory chips warned of a glut in the semiconductor market and forecast a wider-than-expected second-quarter loss as a result. The company also revealed a series of cost-cutting measures to help offset an expected drop in revenue, including a 10% reduction in its workforce. Shares fell 4.2%.
Meanwhile, Under Armour (UA) named Marriott International President Stephanie Linnartz as its next chief executive officer, concluding a seven-month search for a new leader. Linnartz, who was one of 60 candidates under consideration, is expected to assume the post Feb. 27, according to the company. Under Armour’s stock was down 2.6% early into the session.
On the economic data front, filings for unemployment insurance ticked up slightly to 216,000 in the week ended Dec. 17, the Labor Department said Thursday, a modest increase from the prior week’s upwardly revised 214,000.
In commodities markets, oil charged higher for a fourth straight day ahead of wintry weather in the U.S. and forecasts of a storm moving toward North America. West Texas Intermediate (WTI) crude futures – the U.S. benchmark – were up about 1.2% to top $79 per barrel.
