US open: Stocks slip as US-Iran tensions, global chip rout hit sentiment

(Sharecast News) - Major indices traded lower early on Friday after the US carried out a sixth straight night of strikes on Iran, while a selloff in semiconductor names weighed the tech-heavy Nasdaq.

As of 1445 BST, the Dow Jones Industrial Average was down 0.60% at 52,238.20, while the S&P 500 shed 1.28% to 7,437.23, and the Nasdaq Composite came out of the gate 2.28% weaker at 25,292.97.

The Dow opened 314.77 points lower on Friday, extending losses recorded in the previous session.

Stocks headed south after US Central Command said overnight that American forces had hit dozens of military targets, including logistics infrastructure and maritime assets, as its confrontation with Tehran escalates. The fragile truce agreed last month has now fractured, once again disrupting energy flows through the Strait of Hormuz, a corridor that typically handles around 20% of global oil shipments.

Elsewhere, Asian and European chip stocks were also under pressure early on Friday, extending the sharp sectorwide selloff that hit Wall Street the previous day and setting a downbeat tone for the session. Heavy declines in Taiwan Semiconductor, SK Hynix, Samsung Electronics and other regional names rippled into Europe, where ASML, STMicroelectronics, and Infineon all traded lower. The moves closely tracked Thursday's slump in US semiconductors - led by steep falls in Arm and TSMC - and reinforced the belief that the global tech rout was now broadening.

On the macro front, US housing starts surged in June, while building permits moved lower, offering a mixed read on construction momentum heading into the second half of the year. According to the Census Bureau, housing starts jumped 19% to an annualised 1.427m units, the strongest print in three months and well above forecasts for 1.31m, while building permits fell 3% to 1.367m, missing expectations for 1.4m as higher borrowing costs and a backlog of unsold new homes acted as a drag.

On another note, US import prices rose again in June, while export prices posted their first monthly decline in more than a year, according to figures from the Bureau of Labor Statistics. Import prices were up 0.3% on the month after gains of 1.7% in May and 2.1% in April, leaving the annual rate at 7.1%, the strongest rise since August 2022. Export prices, meanwhile, fell 0.6% in June, breaking a run of monthly increases stretching back to May 2025.

Moving on, US industrial production edged higher in June, with output also strengthening over the second quarter, according to the Federal Reserve. Total production rose 0.1% on the month and increased at a 4% annualised pace in Q2. Manufacturing was flat in June but still grew at a 4.7% annual rate over the period, while both mining and utilities posted 0.4% gains. Overall industrial output stood at 102.6% of its 2017 average, up 1.1% on the year. Capacity utilisation was unchanged at 76.1%, remaining 3.3 percentage points below its longrun average.

Still to come, a preliminary reading of July's University of Michigan consumer sentiment index will be published at 1500 BST.

No major corporate earnings were slated for release on Friday.

Reporting by Iain Gilbert at Sharecast.com

Dow Jones - Risers

Nike Inc. (NKE) $44.57 4.21%

Apple Inc. (AAPL) $333.26 4.21%

Amgen Inc. (AMGN) $371.58 4.11%

International Business Machines Corporation (CDI) (IBM) $219.05 3.72%

Salesforce.Com Inc. (CRM) $172.68 3.40%

Merck & Co. Inc. (MRK) $127.63 3.25%

McDonald's Corp. (MCD) $273.46 3.21%

Microsoft Corp. (MSFT) $401.10 3.14%

Coca-Cola Co. (KO) $84.92 3.00%

Visa Inc. (V) $365.14 2.82%

Dow Jones - Fallers

Intel Corp. (INTC) $96.98 -9.53%

Goldman Sachs Group Inc. (GS) $1,095.46 -4.91%

Cisco Systems Inc. (CSCO) $109.66 -4.70%

Caterpillar Inc. (CAT) $877.17 -4.06%

Boeing Co. (BA) $214.34 -1.73%

Dow Chemical Co. (DOW) $29.30 -1.35%

JP Morgan Chase & Co. (JPM) $343.15 -1.08%

S&P 500 - Risers

Robert Half Inc. (RHI) $41.33 12.62%

Biogen Inc (BIIB) $208.92 11.07%

Abbott Laboratories (ABT) $98.83 10.71%

Perrigo Company plc (PRGO) $11.16 9.95%

Gartner Inc. (IT) $142.89 6.83%

J.B. Hunt Transport Services Inc. (JBHT) $298.41 6.70%

DENTSPLY Sirona Inc. (XRAY) $13.85 6.66%

Mattel Inc. (MAT) $14.65 6.39%

Cintas Corp. (CTAS) $206.25 6.04%

Under Armour Inc. Class A (UAA) $7.25 5.84%

S&P 500 - Fallers

Western Digital Corp. (WDC) $466.81 -14.44%

Seagate Technology Plc (STX) $745.49 -12.77%

Micron Technology Inc. (MU) $853.20 -11.10%

Intel Corp. (INTC) $96.98 -9.53%

Advanced Micro Devices Inc. (AMD) $500.94 -9.51%

Corning Inc. (GLW) $158.39 -9.19%

Coterra Energy Inc. (CTRA) $32.56 -8.62%

NetApp Inc. (NTAP) $159.69 -6.89%

Microchip Technology Inc. (MCHP) $81.68 -6.27%

Oracle Corp. (ORCL) $124.21 -6.25%

Nasdaq 100 - Risers

Biogen Inc (BIIB) $208.92 11.07%

J.B. Hunt Transport Services Inc. (JBHT) $298.41 6.70%

DENTSPLY Sirona Inc. (XRAY) $13.85 6.66%

Cintas Corp. (CTAS) $206.25 6.04%

Intuitive Surgical Inc. (ISRG) $402.33 5.65%

Mondelez International Inc. (MDLZ) $61.42 5.10%

Intuit Inc. (INTU) $294.79 5.00%

Idexx Laboratories Inc. (IDXX) $576.07 4.98%

Paypal Holdings Inc (PYPL) $56.73 4.95%

Verisk Analytics Inc. (VRSK) $201.49 4.83%

Nasdaq 100 - Fallers

Western Digital Corp. (WDC) $466.81 -14.44%

Qvc Group Inc Series A (QVCGA) $0.34 -13.49%

Seagate Technology Plc (STX) $745.49 -12.77%

Micron Technology Inc. (MU) $853.20 -11.10%

Intel Corp. (INTC) $96.98 -9.53%

Microchip Technology Inc. (MCHP) $81.68 -6.27%

Lam Research Corp. (LRCX) $320.96 -6.06%

Broadcom Inc. (AVGO) $374.45 -5.66%

Applied Materials Inc. (AMAT) $560.93 -5.16%

Cadence Design Systems Inc. (CDNS) $364.65 -4.90%