S&P 500, Nasdaq close lower ahead of technology earnings

July 23, 2026 - 10:51

The S&P 500 and the Nasdaq Composite both finished in the red on Wednesday, as a cautious mood settled over the market ahead of a busy week for technology earnings. Investors are waiting to see if the sector's recent rally, largely driven by excitement around artificial intelligence, can hold up under the scrutiny of quarterly results.

While the broader market showed some mixed signals, technology stocks were a particular focus. Some major names slipped, pulling the indexes lower, while others managed small gains. The Dow Jones Industrial Average fared slightly better, closing in positive territory, but the overall tone was one of hesitation.

The earnings reports on deck are seen as a critical test for the AI-fueled optimism that has pushed stocks higher this year. If results disappoint, analysts warn the market could face a pullback. For now, traders are holding their breath, waiting to see if the numbers justify the high valuations. The session ended with the S&P 500 down and the Nasdaq also lower, reflecting the uncertainty.