New York, June 8, 2026, 16:02 EDT
- The Dow Jones Industrial Average slipped 104.70 points, or 0.21%, to 50,762.08. Tech stocks lent support to the wider market.
- The S&P 500 and Nasdaq did better than the Dow as chip stocks bounced back after Friday’s big drop.
- Markets now look to Wednesday’s inflation data and renewed Middle East energy risks as the next hurdles for the rebound.
Dow slips as S&P 500, Nasdaq recover on tech bounce
The Dow Jones Industrial Average lost ground Monday, dipping 104.70 points, or 0.21%, to settle at 50,762.08. The index caught a range between 50,761.97 and 51,277.15. The S&P 500 and Nasdaq pushed higher as buyers moved back into tech and chip stocks after Friday’s selloff.
Split trading drew focus as investors wondered if Friday’s drop would prove to be just a blip or the beginning of a steeper slide. The Dow covers 30 major U.S. blue chips and uses a price-weighted system, so pricier stocks have greater sway than firms with a larger market cap.
Tech and chip stocks drove the rebound, Reuters said. The Philadelphia SE Semiconductor Index jumped 6.2% Monday, clawing back part of Friday’s plunge that wiped out around $1 trillion from U.S.-listed chipmakers’ market cap.
Rick Meckler, partner at Cherry Lane Investments, described the bounce as “bargain hunting” after tech’s slide. He said the market had been priced for perfection, pointing out investors hadn’t left much room for bad news. Reuters
The Dow trailed as its underperformers didn’t line up with stocks leading the rest of the market. MarketWatch said Travelers and Sherwin-Williams were top drags on the Dow, while Apple, IBM, and Merck pulled the index lower as well.
Apple shares fell 1.4% as CEO Tim Cook kicked off the Worldwide Developers Conference, pushing Apple Intelligence and updates to Siri. Reuters reported the stock lost ground while investors stayed with other AI names.
Stocks sold off sharply on Friday. The Dow gave up 695.15 points, or 1.35%, June 5. S&P 500 was down 2.64%. Nasdaq slid 4.18%. A hot payrolls print brought back worries the Fed could hold rates up or maybe tighten more.
Ryan Detrick, Carson Group’s chief market strategist, said Friday “the dam just broke.” Ohsung Kwon, chief equity strategist at Wells Fargo, called semiconductors “way overbought,” but said he doesn’t see the bull market in chips as over. Reuters
Jobs data for May landed in the middle of forecasts, giving bulls and bears each something to talk about. The U.S. Bureau of Labor Statistics said Friday nonfarm payrolls increased by 172,000 and the jobless rate stayed at 4.3%. Labor remains tight, but the numbers could keep pressure on rates.
Citigroup raised its S&P 500 year-end target for 2026 to 8,100 from 7,700, citing stronger earnings and AI-fueled growth. The firm cautioned that AI growth past 2027 is still a “key question,” and pointed to the market’s jump into the sector as a reason for some hesitation. Reuters
Monday’s bounce is at risk of being too narrow. If the Consumer Price Index due Wednesday runs hot, or if Middle East flare-ups drive energy prices higher again, worry over rates could come back fast. That would likely hit the same high-valuation growth names behind Monday’s S&P 500 and Nasdaq gains. The Bureau of Labor Statistics will put out the May CPI on June 10 at 8:30 a.m. ET.
After the bell, the mood wasn’t quite bleak, just choppy. The Dow slipped, but buyers stuck around for chips and some other AI names. That support didn’t carry through the broader market, though.
