Big Tech stocks’ movements have an outsized effect on indexes like the S&P 500, which give more weight to companies of bigger size.NEW YORK — Wall Street’s record-breaking rally ran into a wall Wednesday, as worries about potentially worsening trade tensions with China hit stocks of chip companies. That dragged indexes to their worst day in months, but conditions may have been less discouraging underneath the surface.
Another major chip company, Taiwan Semiconductor Manufacturing Co., sank after former President Donald Trump criticized the self-governed island claimed by Beijing, which the U.S. is obligated by treaty to defend if it is attacked. Now, though, some critics call those Magnificent Seven stocks too expensive, and investors are creeping back into unloved areas of the market. The economy has remained resilient so far, with the job market staying solid, and investors widely expect the Federal Reserve to begin cutting interest rates in September because
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