Nasdaq Falls 1.3% as Alphabet, Amazon Slide; Dow Rises

SpaceX Plunges 16.43%

U.S. stocks ended mixed on June 22 as losses in megacap technology shares dragged on the broader market. Technology stocks weakened as investors took profits in artificial intelligence names and worries grew over the loss of AI talent.

The Dow Jones Industrial Average rose 148.01 points, or 0.29%, to 51,712.71.

The S&P 500 fell 27.79 points, or 0.37%, to 7,472.79, while the tech-heavy Nasdaq Composite dropped 351.33 points, or 1.32%, to 26,166.60.

Megacap technology stocks led the decline.

Alphabet, Google's parent, sank 4.99% after reports that John Jumper, Google DeepMind's vice president and last year's Nobel Prize winner in chemistry, will leave for AI startup Anthropic. The news damped investor sentiment by highlighting the risk of losing key research talent.

Other Big Tech stocks also fell. Amazon lost 4.75%, Meta Platforms dropped 2.32%, and Microsoft slid 3.18%. Nvidia and Apple also closed lower, down 0.97% and 0.34%, respectively.

By contrast, Micron Technology gained 6.82% and Intel rose 5.19%.

SpaceX, the aerospace company that recently completed an initial public offering, plunged 16.43%. The stock's decline over the past three trading days widened to about 24%, leaving it with most of its post-listing gains erased.

Oil prices fell on signs of progress in talks between the U.S. and Iran. The two sides agreed over the weekend in Switzerland on a roadmap to pursue a final peace agreement within 60 days. The U.S. Treasury Department also issued a special 60-day license allowing the production and sale of Iranian oil.

Brent crude futures for August delivery, the global benchmark, settled 3.31% lower at $77.90 a barrel. West Texas Intermediate crude futures for July delivery fell 2.32% to $74.82 a barrel.

Investors are now focused on the Federal Reserve's key inflation gauge due this week, as well as Micron Technology's earnings.

The May personal consumption expenditures price index, due on June 26, will be the first major inflation reading released since Kevin Warsh took office as Fed chair. Market caution has increased after the Fed signaled a hawkish stance last week and reaffirmed price stability as its policy priority.

Micron's results, due after the close on June 24, will be a key test of whether enthusiasm for AI investment can continue. The stock has surged about 300% this year, reflecting expectations that the company will benefit from the AI boom.

Kim Yeon-ji, Hankyung.com reporter kongzi@hankyung.com