US Stocks Drop as Tech Shares Face Pressure and Bond Yields Rise

US technology stocks dragged down major equity indexes on August 24, 2026, as global bond yield surges and upcoming artificial intelligence earnings reports triggered broad selling across financial markets.

A gauge of semiconductor manufacturers sank 3.5% ahead of Nvidia Corp.'s scheduled earnings release. Customers faced price increases exceeding 15% for servers containing Nvidia artificial intelligence chips, triggering a widespread rout in memory shares and pulling the Nasdaq-100 down by 1%.

E-mini S&P 500 futures fell approximately 0.5% as the 10-year US Treasury yield surged toward 4.7%. European borrowing costs also reached multi-year highs in France and Germany, intensifying market scrutiny over rising corporate and government funding costs alongside persistent oil-linked inflation pressures.

Individual stocks experienced heavy volatility across sector lines. Fabrinet led decliners with a 19.38% drop following mixed analyst reactions to its fourth-quarter fiscal results and guidance, while Credo Technology Group Holding fell 13.03% and Coherent declined 12.75% as investors took profits on AI-exposed semiconductor shares.

Conversely, Targa Resources surged 7.13% after securing long-term midstream agreements with ExxonMobil. Spotify Technology gained 4.83%, and Ulta Beauty rose 4.75% after appointing Brieane L. Olson as an independent director.

Market attention shifts to upcoming earnings reports from major consumer retailers including Lowe's, Target, TJX, Estée Lauder, and Walmart, alongside global e-commerce updates from Alibaba Group Holding and agricultural equipment demand figures from Deere.