US STOCKS-Wall Street mixed as Cisco sinks and Nvidia recovers
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* Cisco (CSCO) tumbles on full-year growth forecast cut
* Canada Goose jumps after upbeat profit outlook
* Indexes: S&P 500 -0.17%, Nasdaq +0.38%, Dow -0.47% (Adds details of afternoon trading)
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Shares of Cisco (CSCO) dropped 14.4% after the networking
gear maker lowered its 2022 revenue growth outlook, taking a hit
from its
Some megacap growth stocks that have badly underperformed in recent months made gains and kept the Nasdaq in positive territory. Nvidia (NVDA) rose 2.9%, while Amazon (AMZN) and Tesla were each up around 1%.
"The 'growthier' names have underperformed year to date.
Perhaps they're at levels where the risk/reward suggests that is
it becoming intriguing, and you might be seeing some flows into
them, but I wouldn't draw any hard conclusions based on four
hours of trading today," said
"The reality is that inflation is running hot and interest rates are rising. And until inflation starts to cool down, the broader market will be under pressure," Sandven said.
Twitter was up more than 2% after Bloomberg
reported that company executives told staff that
The S&P consumer staples index fell 1.8% and was at its lowest level since December as retail firms face the brunt of rising prices hurting the purchasing power of U.S. consumers.
Kohl's Corp became the latest retailer to flag a hit from four-decades high inflation as the department store chain cut its full-year profit forecast.
Its shares, however, rebounded almost 4% after slumping 11% in the previous session due to dismal results from Target Corp (TGT) .
The S&P 500 is down about 18% from its record close on
A close below 20% for the benchmark index would confirm bear market territory, joining its tech-heavy peer Nasdaq.
Goldman Sachs (GS) strategists predicted a 35% chance of the U.S. economy entering a recession in the next two years, while the Wells Fargo Investment Institute expects a mild U.S. recession at the end of 2022 and early 2023.
In afternoon trading, the S&P 500 was down 0.17% at 3,917.13 points.
The Nasdaq gained 0.38% to 11,461.95 points, while the Dow Jones Industrial Average was down 0.47% at 31,343.21 points.
Thursday's mixed performance followed a drop of over 4% in
the S&P 500 on Wednesday, the benchmark's worst one-day loss
since
The CBOE volatility index, also known as
Canada Goose Holdings Inc (GOOS) jumped about 11% after it forecast upbeat annual earnings, encouraged by strong demand for its luxury parkas and jackets.
Advancing issues outnumbered declining ones on the NYSE by a 1.43-to-1 ratio; on Nasdaq, a 1.62-to-1 ratio favored advancers.
The S&P 500 posted 1 new 52-week highs and 43 new lows; the Nasdaq Composite recorded 10 new highs and 309 new lows.
(Reporting by