Closing Bell: Tech Split as Chip Rout Deepens; Software and Energy-Sensitive Sectors Rally as Oil Slides

U.S. equity benchmarks were mixed Monday as a multi-day selloff across semiconductor hardware clashed with strong gains in enterprise software, small caps, and consumer names.  

Trading activity also was heavily shaped by portfolio realignment ahead of this week’s Federal Reserve rate decision and high-profile Big Tech earnings. Chipmakers came under pressure after a report that China has begun developing deep ultraviolet lithography machines, which are used to build semiconductors, according to The Information citing sources familiar with the matter.  

Additionally, a steep drop in WTI crude oil futures—which fell more than 8% to $81.91 following a pause in U.S.-Iran hostilities—provided significant cost relief for energy-sensitive sectors and helped ease Treasury yields. By the final bell, index divergence remained stark. The tech-heavy Nasdaq-100 slipped 0.32% to close at 28,039.21, while the benchmark S&P 500 ended virtually flat, up 0.02% at 7,413.18. In contrast, the blue-chip Dow Jones Industrial Average rose 0.51% to finish at 52,210.08, while the small-cap Russell 2000 gained 0.62% as investors rotated into domestic cyclicals and software providers. 

Three things to watch from today’s market: 

• Semiconductor Drag Deepens on Circular AI Deals and Competition: Chip equipment and memory names extended a sharp three-day rout. Nvidia (NVDA) dropped roughly 5% following reports that it is in talks to provide up to $250 billion in financing guarantees for OpenAI’s massive data center buildout, raising concerns over "circular financing" and long-term AI profitability. Broader semiconductor weakness dragged down Micron (MU), Advanced Micro Devices (AMD), Intel (INTC), Coherent (COHR), and SanDisk (SNDK), alongside equipment makers, which are facing renewed competition fears. The PHLX Semiconductor Index (SOX) settled down 2.23%. 
• Enterprise Software and Apple Drive Intra-Tech Rotation: While hardware sagged, capital rotated directly into software leaders. Workday (WDAY), up 9% Monday, ServiceNow (NOW), up more than 7%, and Salesforce (CRM), up 6% were among the top S&P 500 gainers. Meanwhile, Apple (AAPL) gained about 1% ahead of its upcoming earnings report, briefly regained its position as the most valuable U.S. company, and anchored the Dow's advance. 
• Crude Oil Offers Macro Relief: WTI crude plunged more than 8% after weekend diplomatic progress led to a pause in U.S.–Iran military friction. The retreat in energy costs lifted transport and consumer-facing equities, while dampening broader inflation expectations heading into the Fed's two-day policy meeting. 

Technology and Telecommunications News Roundup for July 27, 2027 

• ASML Holding (ASML), Applied Materials (AMAT), and Lam Research (LRCX) fell following reports that a state-backed Chinese firm initiated mass production of domestic immersion DUV lithography equipment. 
• Safe Superintelligence (SSI) & Nvidia (NVDA) announced a long-term strategic partnership, including a substantial Nvidia investment to scale SSI's compute capacity tenfold over the next 12 months. 
• Synopsys (SNPS), AMD (AMD), and Microsoft (MSFT) said they are partnering to enable AI-powered design workflows that combine reasoning, domain expertise, and cloud compute for next-generation silicon design. 
• Apple (AAPL) is reportedly seeking regulatory approval to source memory chips from Chinese competitors to bypass high component costs, according to reports from the FT and The Wall Street Journal. 
• Amazon & Globalstar Satellite Filing: Amazon (AMZN) submitted an FCC filing to deploy up to 5,105 satellites using Globalstar spectrum—following its agreement to acquire Globalstar—to deliver “mobile data, text messaging, emergency communications, in-vehicle connectivity and Internet of Things (IoT) applications” across geographies. 

Economic Events/Data Tuesday, July 28, 2026 (ET) 

• 08:15 AM:  ADP Weekly Employment Change 
• 08:30 AM:  Advance Goods Trade Balance / Wholesale & Retail Inventories (Jun) 
• 09:00 AM:  S&P/Case-Shiller 20-City Home Price Index (May) 
• 10:00 AM:  CB Consumer Confidence & Richmond Fed Manufacturing Index (Jul) 
• 01:00 PM:  7-Year Note Auction 
• 04:30 PM:  API Crude Oil Stock Change | 
• FOMC Two-Day Meeting Begins 

Earnings Calendar Highlights Tuesday

Premarket:

United Parcel Service (UPS), The Coca-Cola Company (KO), The Boeing Company (BA), PayPal Holdings (PYPL). 

Postmarket: 

Visa Inc. (V), Ford Motor Company (F), KLA Corporation (KLAC), Waste Management (WM), Enphase Energy (ENPH), Teradyne (TER). 

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