U.S. Stocks Tumble Amid Second-Quarter Earnings Season and Market Volatility

U.S. stocks fell sharply on Thursday, driven by a broad sell-off and heightened market volatility. Investors moved away from high-priced growth stocks as second-quarter earnings reports came in. Major indices like the Dow, Nasdaq, and S&P 500 posted significant losses. Economic concerns and investor anxiety contributed to the downturn.

In a dramatic turn of events, U.S. stocks plummeted on Thursday, wiping out early gains as investors shifted away from expensive megacap growth stocks. The decline comes amid the intensifying second-quarter earnings season.

All major U.S. indices, including the Dow Jones, Nasdaq, and S&P 500, saw steep losses. The Nasdaq experienced its largest one-day drop since December 2022, while the chip sector endured its most significant percentage plunge since March 2020's pandemic-driven panic. The CBOE Market Volatility Index, known as the 'fear index,' reached the highest level since early May, reflecting heightened investor anxiety.

'What's different from yesterday is you did see money going into other sectors ... but today it's a pretty broad selloff,' remarked Tim Ghriskey, senior portfolio strategist at Ingalls & Snyder. The Russell 2000 also declined for the second consecutive day, further signaling market instability.

(With inputs from agencies.)