Big Tech’s Influence on Stock Market; Adobe Plummets Due to Disappointing Forecast

The stock market saw a mix of gains and losses on Friday, with tech stocks dragging down indexes while semiconductor stocks ticked up.

In the Dow Jones Industrial Average, industrials gained as investors went risk-off. Companies like 3M and Caterpillar saw gains, while JPMorgan Chase rose after reporting a decrease in credit card delinquencies. However, tech components like Salesforce, Amazon, and Microsoft led the index lower, with McDonald’s also shedding due to tech outages. Apple dipped after settling allegations of misleading investors.

In the S&P 500, Steel Dynamics and Valero saw gains, while Jabil and Ulta Beauty faced losses due to missed sales estimates and weak margin forecasts, respectively. Software companies like ServiceNow and Intuit also slipped, along with Uber and Lyft due to new minimum wage laws.

The Nasdaq 100 saw CoStar Group leading the index, with semiconductor stocks rebounding from a previous slump. However, Adobe shares tumbled after forecasting weaker-than-expected sales, while Tesla ticked up after three days of losses.

Overall, the market showed volatility on the first triple witching day of the year, with the Cboe Volatility Index rising. Real estate stocks tumbled after a settlement by the National Association of Realtors, and Ulta Beauty stock fell on a weak margin forecast. Additionally, Adobe stock tumbled after reporting record quarterly revenue but soft guidance for the future.

In premarket trading, stock futures were little changed, with the Dow Jones and S&P 500 futures slightly up, while Nasdaq 100 futures were down.

The market continues to be influenced by a mix of company-specific news and broader economic factors, creating a dynamic and ever-changing landscape for investors.