Major Averages See Further Downside Following Early Drop

(RTTNews) - After moving moderately lower earlier in the session, stocks have seen further downside over the course of the trading day on Thursday. The pullback on the day has largely offset the rally that was seen in the previous session.

Semiconductor stocks have moved substantially lower over the course of the trading day, dragging the Philadelphia Semiconductor Index down by 2.8 percent. The index is partly offsetting the 3.8 percent gain posted on Wednesday.

Qorvo (QRVO), NXP Semiconductors (NXPI), and Analog Devices (ADI) are turning in some of the semiconductor sector's worst performances.

Considerable weakness has also emerged among computer hardware stocks, which are also giving back ground after yesterday's rally. The NYSE Arca Computer Hardware Index is down by 2.1 percent, with storage stocks leading the way lower.

Utilities stocks have also come under pressure on the day, resulting in a 1.5 percent drop by the Dow Jones Utilities Average. With the drop, the average is pulling back off its best closing level in a month.

Biotechnology, gold, oil service, and airline stocks have also moved notably lower, reflecting the broad based selling pressure that has emerged on Wall Street.

Currently, the major averages are just off their new lows for the session. The Dow is down 202.43 points or 1.2 percent at 16,082.27, the Nasdaq is down 59.14 points or 1.3 percent at 4,561.03 and the S&P 500 is down 18.45 points or 1 percent at 1,901.58.