CNBC Daily Open: The U.S. tech-sell off extends to its second day — but don’t let it ruin your summer

CNBC Daily Open: The U.S. tech-sell off extends to its second day — but don’t let it ruin your summer


Palantir Technologies signage on an options contract ticker as traders work on the floor of American Stock Exchange at the New York Stock Exchange in New York, U.S., on Friday, June 20, 2025.

Michael Nagle | Bloomberg | Getty Images

If you have any U.S. technology stocks in your portfolio (and let’s face it, who doesn’t?), you might want to look away.

For the second day in a row, tech stocks dragged markets lower, with the Nasdaq Composite slipping 0.67%. Juggernauts such as Apple, Amazon and Alphabet were more meh-nificent than magnificent, falling more than 1%.

Palantir — the standout S&P 500 stock, having more than doubled so far this year — spent its sixth consecutive day in the red and lost its place among a ranking of the 20 most valuable U.S. companies.

While Palantir’s slide was partly triggered by a report from short seller Andrew Left’s Citron Research, which called the company “detached from fundamentals and analysis,” there was no single trigger for the broader pullback.

Investors could have been spooked by OpenAI CEO Sam Altman’s caution about an AI bubble forming, although some analysts dispute that assertion. “In our view the tech bull cycle will be well intact at least for another 2-3 years,” said Wall Street tech bull Dan Ives.

Or it could be something benign, like traders locking in profits. “Tech stocks,” said Carol Schleif, chief market strategist at BMO Private Wealth, “have had an incredibly strong run – with some up over 80% since the early April lows.”

Summer, after all, is far from over. Some investors might have just wanted to cash out for another round of margaritas.

What you need to know today

Fed officials divided over inflation and employment worries. Central bank governors generally agreed there were risks on both sides. But a couple — breaking from the majority — saw the labor market woes as more pressing, according to minutes of the Fed’s July meeting.

Trump likely to pick Kevin Hassett as next Fed Chair. The director of the National Economic Council firmly led the pack, according to a CNBC Fed Survey. However, respondents think the president “should” pick former Fed Governor Kevin Warsh.

No new solar or wind power projects, Trump says. Renewable energy projects will no longer receive approval, Trump posted Wednesday on Truth Social. His comment comes after the administration already tightened federal permitting last month. 

Fourth day of losses for the S&P 500. Investors continued selling off technology stocks on Wednesday, with Palantir having its sixth straight losing day. The U.K.’s FTSE 100 closed at another high despite inflation in July coming in hotter than expected.

[PRO] The Fed is expected to cut just as markets trade at highs. This is what tends to happen when both factors coincide, according to Goldman Sachs research.

And finally…

United States President Donald Trump participates in a Multilateral Meeting with European Leaders in the East Room of the White House in Washington, DC, US. Picture date: Monday August 18, 2025.

Aaron Schwartz – Pa Images | Pa Images | Getty Images

Trump has snapped up more than $100 million in bonds since taking office

U.S. President Donald Trump has been on a multimillion-dollar bond-buying spree since taking office in January, investing in debt issued by local authorities, gas districts and major American corporations.

Across 33 pages of filings with the U.S. Office of Government Ethics, or OGE, dated Aug. 12, the president outlined 690 transactions that have taken place since he took office. The documents were made public on Tuesday.

— Chloe Taylor

Correction: This report has been updated to correct the spelling of Kevin Hasset’s name.



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