Tech shares plunged 08/01/2025

HOT stories for today


 

Stocks on the move:

• Cal-Maine Foods (CALM, +4%): Shares rose after the egg producer posted its second-quarter results for fiscal 2025. Due to thin analyst coverage, the figures weren’t directly comparable to Wall Street estimates.
• Getty Images (GETY, -4%): The stock fell in after-hours trading, following a 24% surge during Tuesday’s session. The jump came after Getty and Shutterstock announced a $3.7 billion merger deal, with Shutterstock gaining nearly 15%.
• AZZ Inc. (AZZ, +1%): Shares increased after the metal-coatings company delivered better-than-expected third-quarter results, reporting adjusted earnings of $1.39 per share on $403.7 million in revenue, beating analysts’ projections.
• AAR Corp (AIR, +4%): Shares advanced after the aviation services provider reported fiscal second-quarter results that exceeded Wall Street forecasts, highlighting solid performance across its core segments.

Today’s action

• Asia-Pacific stocks were mixed Wednesday after Wall Street slid on rising Treasury yields and a pullback in major U.S. tech shares. Japan’s Nikkei 225 edged down 0.16%, with the Topix slipping 0.55%. Meanwhile, South Korea’s Kospi climbed 1.27%, and the Kosdaq remained flat. Samsung Electronics rose 3.61%, despite issuing a worse-than-expected fourth-quarter profit forecast of 6.5 trillion won ($4.47 billion), falling short of LSEG’s 7.7 trillion won estimate. Hong Kong’s Hang Seng Index lost 0.98%, while China’s CSI 300 dropped 0.78%. European markets are expected to open lower as investors weigh economic risks.
• U.S. futures pointed slightly higher early Wednesday, with S&P 500 futures up 0.23%, Nasdaq 100 futures rising 0.22%, and Dow Jones futures adding 81 points (0.19%). Traders are now awaiting the ADP payroll report, jobless claims data, and the release of minutes from the Fed’s December meeting at 2 p.m. ET.

Wahtclist: CALM, NVDA, TSM, ACI, TSLA, COIN, MSFT

Bitcoin
 

• The U.S. may accumulate between 300,000 and 400,000 bitcoins in 2025, a move predicted by Nigel Green, CEO of Devere Group, to ignite a massive bitcoin bull run that could reshape global financial markets. Green’s forecast follows Senator Cynthia Lummis’ proposed Bitcoin Act of 2024, which aims to acquire up to one million bitcoins over five years using Federal Reserve remittances. He described the potential reserve as a geopolitical strategy, positioning the U.S. as a crypto powerhouse while bolstering the dollar’s relevance in the digital age.
• Green emphasized that a reserve of 300,000 to 400,000 bitcoins would be enough to trigger an unprecedented surge in BTC’s value, reshaping financial markets worldwide. As bitcoin gains strategic importance, he views the proposed legislation as a shift toward greater governmental acceptance of crypto assets. Bitcoin currently trades at $98,309, has a market cap of $1.94 trillion, and has a 24-hour volume of $19.92 billion, signaling a critical juncture in its trajectory.
  Watchlist: Bitcoin: 91 000-108 000, Ethereum: 3100-3800, Solana: 200-222

Forex
 

• The Japanese Yen remains under pressure, hovering near multi-month lows against the US Dollar as uncertainty around the Bank of Japan’s next rate hike and the widening US-Japan yield gap weigh on the JPY. The Fed’s hawkish stance further supports the USD, keeping the USD/JPY pair elevated during the European session on Wednesday.
• EUR/USD climbed to 1.0350 in early European trading, buoyed by solid US data suggesting a possible Fed rate pause. However, gains may be capped as markets anticipate slower Fed rate cuts in 2025, while the European Central Bank is expected to pursue more aggressive cuts despite ongoing inflation concerns. Traders await the FOMC Minutes for further cues.
  Watchlist: EUR/USD: 1.0200-1.0460, USD/JPY: 155-158.50

Basic Materials
 

• Gold price (XAU/USD) turns positive for the second consecutive session, supported by geopolitical risks, trade war fears, and a slight dip in the US Dollar. However, upside potential remains limited ahead of the FOMC Minutes, with the Fed’s hawkish stance and elevated US bond yields capping gains. Gold sees dip-buying after pulling back from the $2,665 resistance level, though the move lacks strong bullish momentum. Market participants remain cautious, and we are awaiting the FOMC meeting minutes for further clarity.
• West Texas Intermediate (WTI) crude prices rise to around $74.15 in Wednesday’s Asian session. The increase follows an API report showing a 4.022 million-barrel drop in US crude inventories last week. Expectations of stronger Chinese demand further support WTI, though oil traders are focused on upcoming FOMC Minutes and the US December Non-Farm Payroll report for additional market direction.
  Watchlist: GOLD 2530-2750, US Oil: 65.00-74.50

The TEFS Analyst team wishes you a successful day!