Markets slump with concern for companies sharing chip-making tech with China

Get Our Email Newsletter
The companies, people and issues shaping business in Madison and the Capital Region.

Wall Street followed global markets lower today as technology shares sank after a report said the U.S. plans tighter import controls on companies that share chip-making technology with China, according to the Associated Press. Futures for the S&P 500 sank 1% before the bell, while futures for the Dow Jones Industrial Average fell 0.3%, and the tech-heavy Nasdaq tumbled 1.5%.

Shares in Tokyo Electron plunged 7.5%. Precision tools maker Disco Corp. sank 4.5%, and Lasertec, which makes equipment for inspecting for defects in computer chips, dropped 5%.

Dutch chip equipment maker ASML Holding NV slid 7.7% in premarket, while Nvidia fell 3.7%.

Outside of the tech sector, Spirit Airlines lost more than 5% after the discount carrier cut its second-quarter revenue guidance, and trucking company JB Hunt Transport Services lost 2.9% after it missed Wall Street’s revenue and profit targets as sales fell nearly 7% compared to the year-ago period.

Advertisement

In other dealings, U.S. benchmark crude oil added 72 cents to $81.46 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the international standard, picked up 50 cents to $84.23 per barrel.

The U.S. dollar fell to 156.51 Japanese yen from 158.34 yen on Wednesday.

Digital Partners