Tech stocks took another hit on Friday, pulling both US equity futures and crypto markets lower to close out a rough week on Wall Street.
Nasdaq 100 futures dropped 1% before the bell. S&P 500 futures fell 0.3%, marking a fourth straight daily decline this week. Dow futures held roughly flat, reflecting its smaller exposure to tech names.
Apple announced higher prices on its MacBooks, iPads, and home devices. That news sent Apple shares down 6.1% and set off a wider wave of concern across global markets.
Investors worry that rising memory and storage component costs will slow demand for devices. That, in turn, could threaten the chip rally that has been propping up the AI trade.
South Korea’s Kospi index fell as much as 9%, triggering its second trading halt of the week. Chipmakers SK Hynix and Samsung each fell more than 8%. Micron’s strong earnings, while positive for the company, confirmed that memory costs remain elevated.
An OpenAI report added to the pressure. The New York Times reported that the company is pushing its IPO back to 2027, weighing on investor appetite for AI-related stocks.
The Federal Reserve remained a concern too. A hot May reading of the Personal Consumption Expenditures index kept the possibility of a rate hike alive, adding to pressure on tech valuations.
Brent crude slipped below $74 a barrel. A projectile strike on a vessel in the Strait of Hormuz briefly revived supply worries, though oil has generally eased since the US and Iran agreed a 60-day ceasefire.
Crypto markets followed stocks lower. Ether fell 5.6% over 24 hours to around $1,555, the steepest weekly drop among large-cap cryptocurrencies at 7.9% down on the week.
XRP fell 4.9% to $1.03. Dogecoin dropped 3.8% to $0.074, down nearly 10% over seven days. Solana held up better, off just 1.2% on the week at $68. Tron was the only major gainer, up 0.4%.
Bitcoin dipped near $58,000 before recovering to around $59,888, down 2.7% on the day and 4.5% for the week.
Gabe Selby, head of research at CF Benchmarks, said large holders sold sizable amounts of bitcoin into a market that struggled to absorb the supply. He also noted that new money has been flowing into AI plays rather than crypto.
Selby described the move as a broad market cooldown. He pointed to $55,000 as the next support level to watch, and $61,000 to $62,000 as the range bulls need to reclaim.
“Bitcoin has pulled back into the $50,000 to $60,000 zone today, and if history is any guide, this is where buyers step in,” Selby said.
Crypto is falling on a tech selloff it did not start, with little of its own catalyst to reverse it while investor money continues rotating into AI.
The post Daily Market Update: S&P 500 Fall for Fourth Straight Day as AI Trade Comes Under Pressure appeared first on CoinCentral.
