Wall Street was mixed Friday, while the gloomy forecasts of Broadcom (NASDAQ: AVGO) have weighed heavily on the Nasdaq.
The Dow lost 60 points, or 0.2%, at 15: 50, while the S&P 500 rose 4 points, or 0.2%, and the Nasdaq composite fell 42 points, or 0.5%.
Broadcom Inc. (NASDAQ: AVGO) has dropped 6.9% after having predicted a slowdown in demand for chips, referring to the trade war between the United States and China. Most of the chip manufacturers have predicted a second half stronger after a first half low, and the warning of Broadcom has brought harm to one of the most important factors of trust in the sector.
“Broadcom is clearly in the process of lowering the market price, which could also bring down the number of chips. Some are also related to the trade war between the United States and China and the struggle for Huawei, ” said Kim Forrest, director of investments at Bokeh Capital Partners in Pittsburgh.
The growth of industrial production in china has slowed to its slowest pace in 17 years in may, the second largest economy in the world, which have shown signs of weakening under the pressure of commerce.
The manufacturers of the chips have fallen, with Advanced Micro Devices es (NASDAQ: AMD) has lost 2.8%, NVIDIA (NASDAQ: NVDA) has lost 3.1% and Intel (NASDAQ: INTC) sliding 1.7%.
Tesla (NASDAQ: TSLA) slipped 0.6% after the company’s electric car, has lost his chief of the autopilot Zeljko Popovic for the benefit of Embark, a trucking company independent, while Blue Apron (NYSE: APRN) fell 10.3% as a result of a stock split.
In commodities, crude rose 0.2% to $ 52,38 dollars per barrel, the futures on gold increased 0.8% to $ 1 355,05 dollars per troy ounce, while the dollar index, which measures the greenback against a basket of six major currencies, was up 0.3% at 97,282.