Nasdaq starts September with difficulties as Nvidia sell-off continues

Live5 updates

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  Tuesday, September 3, 2024 at 10:31 AM Mountain Daylight Time

  Stock markets fall to start a turbulent month of September

  U.S. stocks fell on Tuesday to kick off a historically tough month for markets, as artificial intelligence darling Nvidia (NVDA) and chip stocks led tech stocks lower.

  The Dow Jones Industrial Average (^DJI) fell 1%, or more than 450 points. The S&P 500 (^GSPC) fell 1.5%, while the tech-heavy Nasdaq Composite (^IXIC) fell nearly 2.5%.

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  Tuesday, September 3, 2024 at 9:45 AM Mountain Daylight Time

  Construction spending falls more than expected

  While the August jobs report, due Friday, is the main event of this week’s economic news, Tuesday offered a glimpse of construction activity, with implications for the housing market.

  The Commerce Department reported Tuesday that construction spending fell 0.3% in July, compared with the previous month, when forecasts had called for spending figures to fall just 0.1%.

  The slightly larger-than-expected drop in spending reflects higher mortgage rates and increased supply.

  Weaker demand has led builders to cut investment in new projects. Construction of single-family homes fell to a 16-month low in July.

  However, mortgage rates continued to fall in August as expectations mount that the Federal Reserve will cut rates at its next policy meeting in September. Rates are expected to fall further as potential home buyers wait for better rates.

  Affordability remains an issue, although borrowing costs are likely to decline.

  Fannie Mae’s Home Buying Confidence Index, which measures consumer confidence in the residential real estate market, fell in July, highlighting how a lack of affordability is holding back real estate activity.

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  Tuesday, September 3, 2024 at 9:00 a.m. Mountain Daylight Time

  Why we’re not ready for the first presidential election of the AI ​​era

  With the election just months away and generative AI detection technologies still unpredictable, experts say we can expect to see more generative AI-based content designed to sow discord among the electorate, Yahoo Finance’s Dan Howley reports.

  The 2024 election is the first U.S. presidential election of the generative AI era, and we’re already seeing examples of how technology is being used to influence how Americans cast their votes.

  On August 18, former President Donald Trump shared a series of AI-generated images of Taylor Swift fans wearing pro-Trump t-shirts, despite the photos originally appearing in a post flagged as satire on X (formerly Twitter). In January, fake phone calls were sent to some New Hampshire residents in an attempt to dissuade them from participating in the state’s Democratic primary.

  “The danger is that if there is some kind of AI misinformation… like the Taylor Swift images… if millions of people are exposed to it and only 10% or 15% don’t realize it’s fake, that could be a substantial number to think about in the election,” explained Augusta University political science professor Lance Hunter.

  “[In] “In swing states, sometimes the margin of victory is less than 1%. So… a small number of people being exposed to this disinformation and not realizing that it is disinformation could influence election results,” Hunter added.

  Read more here.

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  Tuesday, September 3, 2024 at 8:15 AM Mountain Daylight Time

  Trending stocks in morning trading

  Below are some of the stocks that topped Yahoo Finance’s trending ticker page during Tuesday morning trading:

  Boeing (bachelor of arts): Shares of the aircraft maker fell 6% on Tuesday morning following a price target cut by Wells Fargo, highlighting the pressure on the company’s cash flow as it works to develop new aircraft. The company is also facing a potential major strike, with its workers in Washington state set to go on strike if a deal is not reached by the end of this month.

  US Steel (unknown): The steelmaker fell nearly 4% after Democratic candidate Kamala Harris said the company should remain American-owned and operated in the face of a proposed takeover by Japan’s Nippon Steel. Republican candidate Donald Trump has also opposed the proposed sale.

  Nvidia (NVDA): Shares of the artificial intelligence chip designer fell 5% during morning trading Tuesday, continuing a slide that accelerated after the company’s earnings report last week that failed to impress Wall Street. The stock has fallen more than 10% over the past five days, highlighting a tough time for AI and chip companies that have stagnated, as questions mount about the returns on their customers’ investments.

  Unit (you): The video game software developer gained more than 7% on Tuesday after analysts at Morgan Stanley upgraded its stock to Overweight from Equal Weight, highlighting the strength of its game engine business and Unity’s hold on its market share.

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  Tuesday, September 3, 2024 at 7:32 AM Mountain Daylight Time

  Stocks fall in morning trading

  U.S. stocks fell on Tuesday to kick off September, a historically tough month for markets, as attention turned to a week of labor data highlighted by a crucial monthly jobs report.

  The Dow Jones Industrial Average (^DJI) fell about 0.5% after a bullish session ahead of the Labor Day break. The S&P 500 (^GSPC) fell 0.6%, while the tech-heavy Nasdaq Composite (^IXIC) fell 0.8%.