Finance

High-growth technology and semiconductor companies felt the brunt of the market downturn as investors weighed the impact of prolonged high borrowing costs. Rising bond yields triggered a sharp 4.3% drop in a key gauge of chip giants, with notable declines in heavyweights like Nvidia, Advanced Micro Devices, and Broadcom.

Financial stocks contributed heavily to the downward market momentum after missing third-quarter growth expectations. Bank of America shed roughly 6% after revealing weaker-than-anticipated summer profits alongside a new $1.2 billion regulatory penalty from the U.S. Treasury, while State Street also dropped significantly due to soft revenues.

Digital assets pulled back sharply alongside equities as the unexpected rise in inflation dampened risk appetite. Bitcoin retreated toward the $82,000 threshold after failing to sustain an overnight push near $84,000, while major alternative cryptocurrencies like Ether and Solana fell by roughly 3%.