The S&P 500 and Dow Jones have almost wholly neutralized the decline observed at the beginning of the session on Friday, but the Nasdaq is still falling prices of shares of IT giants.
In addition, the market is under pressure from continuing concerns about the default of the Chinese developer Evergrande and its consequences. Evergrande, China’s most heavily leveraged real estate developer, skipped coupon payments on its bonds on Thursday. However, the company has another coupon payment due next week.
Nike Inc, meanwhile, fell 6.6% after the sportswear maker downgraded its annual revenue forecast.
“There is a real risk that companies will fall short of expectations despite strong demand for their products and services,” said Russ Mold, investment director at AJ Bell.
“The price pressures are so clear that large-scale dips in profitability forecasts seem inevitable in the coming months,” he added.
The Dow Jones index rose 0.02% to 34.771.68 points, the S&P 500 index dropped 0.01% to 4.448.68 points, and the Nasdaq fell 0.38% to 14.995.58 points.
The market value of tech giants Microsoft Corp, Amazon.com Inc, and Apple Inc is down about 0.6%.
Crypto-related companies MicroStrategy Inc, Riot Blockchain, and Marathon Patent Group are down 3.7-5.1%. China on Friday promised to eradicate what Beijing considers “illegal” activity and banned cryptocurrency mining across the country.
