US tech stocks just had their first 2-week losing streak of 2023

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US tech stocks just had their first 2-week losing streak of 2023
The Nasdaq Composite has had its first two-week losing streak of 2023.Mario Tama/Getty Images
  • The Nasdaq Composite fell by over 2% last week.
  • Mixed inflation data and tumbling semiconductor stocks dragged it lower.
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US tech stocks are now on their longest losing streak of the year, with mixed inflation data and tumbling semiconductor stocks leading to a disappointing start to August for markets.

The Nasdaq Composite has fallen over 2% each of the past two weeks — the first time it's posted losses for two weeks in a row since December 2022, according to data from Refinitiv.

The tech-heavy index has jumped over 30% year-to-date, powered higher by frenzied interest in AI and cooling inflation.

But it has shed 5% in August alone, with signs of inflationary stickiness and a sell-off in semiconductor stocks fueling losses in what's typically the quietest month of the year for investors.

The US Consumer Price Index, which gauges inflation by measuring the cost of the average American shopping basket, came in at a lower-than-expected reading of 3.2% for July on Thursday.

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But on Friday, the Producer Price Index — which measures the prices factories receive for their goods — offered investors some food for thought.

US PPI rose 0.3% in July, according to the data from the Bureau of Labor Statistics, outpacing economists' expectations and signaling elevated inflation could carry on weighing on the US economy.

Sliding semiconductor stocks also weighed on the Nasdaq, with Advanced Micro Devices, Micron, and Nvidia all posting losses of over 7% last week.

Meanwhile, the broader S&P 500 gauge slipped 0.3% over the five days ending August 11 to also rack up a second straight week of losses.

The Dow Jones Industrial Average provided a rare bright spot, posting gains of 0.6%.

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