Stock market today: Indices fall as chip stocks fall ahead of key earnings

• Indices fell on Wednesday due to a sell-off in chip stocks.
• Alphabet shares rose after strong earnings growth.
• Meta and Microsoft report earnings after the bell.

US stocks ended lower on Wednesday as encouraging earnings from technology companies were overshadowed by a sell-off in semiconductor stocks.

alphabet big earnings helped lift the company’s shares nearly 3% for the session, but major indexes fell as Chip makers suffered losses.

AMD and Super Micro Computer led the charge. The company’s shares fell on weak fourth-quarter guidance, and Super Micro shares fell sharply on news that its auditor resigned over concerns about the company. AMD shares fell nearly 11%, while SMCI shares fell 33%.

However, investors can expect bigger gains from tech companies.

Shares Microsoft And Meta traded higher as traders anticipated their financial results after the closing bell. Apple And Amazon are on deck to report after hours Thursday.

Macroeconomic data released Wednesday underscored the continued strength of the U.S. economy, allaying fears that interest rates may have to be cut quickly to boost growth.

US real GDP for the third quarter published at an annual rate of 2.8%driven by a strong consumer. PCE, the Federal Reserve’s preferred inflation gauge, reached 2.2%, close to the central bank’s 2% rate target.

“This is a great indicator for GDP, especially when you look at consumer spending,” said economist Claudia Sahm. Bloomberg TV. “It’s not just one quarter: we’ve now put together four quarters of roughly three percent growth in inflation-adjusted consumer spending.”

The job market also looks strong as ADP hiring grew at its fastest pace in more than a year. The data potentially sets the stage for another big nonfarm payrolls report on Friday, which will help the Fed decide next steps at its Nov. 6-7 policy meeting.

Here’s where U.S. indices stood as of Wednesday’s close at 4 p.m.:

Here’s what else is happening:

In commodities, bonds and cryptocurrencies:

• West Texas Intermediate Crude oil jumped 2.38% to $68.81 a barrel. Brent crude oilthe international benchmark index rose 2.31% to $72.76 per barrel.
• Gold rose by 0.59% to $2,797.6 per ounce.
• The 10-year Treasury yield remained virtually unchanged at 4.282%.
• Bitcoin fell 1.43% to $71,786.57.