This content was published on
July 7, 2026 - 11:35
5 minutes
(Bloomberg) — Stocks fell as volatility hit chipmakers anew after blowout earnings from Samsung Electronics Co. left investors wanting even more. Bonds slipped as Brent crude rose by the most in more than a week.S&P 500 contracts dipped 0.1%. Samsung, the world’s biggest memory maker by market value, tumbled 7.5% in Seoul. Its quarterly report failed to wow traders even after profit surged 19-fold. Peers such as Micron Technology Inc. and Sandisk Corp. slid more than 5% in US premarket trading. Nasdaq 100 futures were down 1%, with SpaceX joining the index Tuesday.Semiconductor stocks are facing fresh scrutiny after an unprecedented rally, with traders questioning lofty valuations and whether hundreds of billions of dollars in spending on artificial-intelligence infrastructure can continue. The volatility is also driving investors to left-behind sectors within tech and across the broader market.Europe’s Stoxx 600 saw 17 of its 20 sectors advance even though the overall index was little changed. AI hyperscalers such as Amazon.com Inc. and Alphabet Inc. rose in early trading. Microsoft Corp. strengthened 1.6% alongside gains in software stocks.“The market reaction to Samsung shows that investors have now got into a beat-and-raise mindset,” said Joachim Klement, head of strategy at Panmure Liberum. “Another factor that might weigh on tech stocks today is the inclusion of SpaceX in the Nasdaq indices as index funds will sell some tech stocks to make room.”Brent crude rose 1.3% to $72.94 a barrel following attacks on shipping in and around the Strait of Hormuz, highlighting continued risks to vessels in the critical waterway. Bonds weakened across the world as money markets added to bets on tighter monetary policy, pushing the yield on 10-year Treasuries up three basis points to 4.50%.While investors expect SpaceX’s inclusion in the Nasdaq 100 to trigger some mild swings, the rocket and AI company is winning a clear buy consensus. At least six brokers, including Morgan Stanley, Goldman Sachs Group Inc. and UBS Group AG, have initiated coverage of the stock with buy-equivalent ratings.“The SpaceX inclusion will undoubtedly cause some volatility today, but ultimately it should benefit shareholders through improved liquidity,” said Michael Field, chief equity strategist at Morningstar. “Short-term pain, long-term gain.”For Marija Veitmane, head of equity research at State Street Global Markets, the latest tech selloff in tech again creates a buying opportunity.“Samsung earnings confirmed the insatiable demand for everything IT that the AI revolution has created,” she said. “There is no other sector that has similar earnings power.”In Japan, the yen was a touch stronger around 161.90 per dollar even as positioning data showed hedge funds turned the most negative on the currency since 2007. Gold slipped for a second day to around $4,125 an ounce, while a gauge of the dollar wavered.Corporate News:Rivian Automotive Inc. is offering to sell 75 million shares as the electric vehicle company seeks to fund equity contributions related to a US Department of Energy loan. Its shares tumbled in premarket trading. De Beers has made some of the deepest ever cuts to its official diamond prices, potentially signaling an end to its years-long campaign to hold them well above the market rate. HSBC Holdings Plc is halting lending to riskier private credit funds, after high-profile corporate bankruptcies exposed shaky underwriting standards in industry, the Financial Times reported. Shell Plc said it delivered another strong oil and gas trading result in the second quarter as it benefited from the market turmoil caused by the Iran war.Some of the main moves in markets:StocksThe Stoxx Europe 600 was little changed as of 10:30 a.m. London time S&P 500 futures fell 0.1% Nasdaq 100 futures fell 1% Futures on the Dow Jones Industrial Average rose 0.2% The MSCI Asia Pacific Index fell 1.5% The MSCI Emerging Markets Index fell 1.8% CurrenciesThe Bloomberg Dollar Spot Index was little changed The euro fell 0.1% to $1.1428 The Japanese yen rose 0.1% to 161.88 per dollar The offshore yuan was little changed at 6.7978 per dollar The British pound was little changed at $1.3388 CryptocurrenciesBitcoin fell 1.1% to $63,104.4 Ether fell 1.1% to $1,771.59 BondsThe yield on 10-year Treasuries advanced three basis points to 4.50% Germany’s 10-year yield advanced two basis points to 2.97% Britain’s 10-year yield advanced two basis points to 4.82% CommoditiesBrent crude rose 1.3% to $72.94 a barrel Spot gold fell 1% to $4,122.40 an ounce This story was produced with the assistance of Bloomberg Automation.–With assistance from Abhishek Vishnoi.©2026 Bloomberg L.P.
