Chipmakers put pressure on equity indexes globally, oil edges down

By Sinéad Carew and Marc Jones

NEW YORK/LONDON, July 16 (Reuters) - Tech-heavy equity indexes astir the satellite fell connected Thursday arsenic investors offloaded spot stocks, portion lipid futures gave up earlier gains adjacent arsenic the U.S. and Iran stepped up attacks.

Chip stocks ‌fell from Asia to the U.S., arsenic higher-than-expected 77% net maturation from Taiwanese spot manufacturing elephantine TSMC was not capable to impressment ‌investors who person heavy leaned into exertion stocks related to artificial intelligence.

"That tells you the AI commercialized isn't being priced connected maturation anymore. It's being priced connected perfection. Any net ​report that's simply great, alternatively of flawless, gets sold," said Gene Goldman, main concern serviceman astatine Cetera successful El Segundo, California.

U.S. retail income accrued marginally successful June arsenic little gasoline prices weighed connected receipts astatine work stations, though consumers continued to enactment underlying spending. The income summation of 0.2% was successful enactment with the mean economist expectation.

And aft 2 days of U.S. equity gains connected brushed ostentation data, Goldman said Thursday's commercialized represents "the marketplace catching its breath, not ‌changing its mind."

On Wall Street astatine 12:13 p.m. ET (1613 ⁠GMT), the Dow Jones Industrial Average roseate 9.02 points to 52,802.29, the S&P 500 fell 27.64 points, oregon 0.36%, to 7,544.76 and the Nasdaq Composite fell 250.25 points, oregon 0.95%, to 26,018.97.

The Philadelphia semiconductor scale sank much than 4%, putting it ⁠on way for a 2nd consecutive time of losses.

MSCI's gauge of stocks crossed the globe roseate 3.23 points, oregon 0.3%, to 1,124.91 and the pan-European STOXX 600 scale edged down 0.01%.

Earlier, South Korea's volatile KOSPI scale fell much than 6%, portion Japan's Nikkei closed astir 3% lower.

IRAN, US TRADE MORE ATTACKS

Iran and the United ​States exchanged ​fire connected Thursday, intensifying attacks that person persisted since the play and each ​but torn up the truce that paused warring past month. ‌While the 2 countries wrestle for power of the Strait of Hormuz, Iran signalled that it could prod Houthi allies successful Yemen to adjacent the Bab al-Mandeb Strait astatine the rima of the Red Sea, different cardinal lipid route.

Oil prices gave up earlier gains, with U.S. crude falling 0.3% to $79.37 a tube and Brent trading astatine $84.91 per barrel, down 0.1% connected the day.

U.S. Treasury yields roseate aft economical figures connected user wellness and the labour marketplace did small to change capitalist expectations for the way of involvement rates from the Federal Reserve.

The output connected benchmark U.S. 10-year notes roseate ‌2.84 ground points to 4.573% from 4.545% precocious connected Wednesday, portion the 30-year enslaved output ​rose 2.11 ground points to 5.1041%.