The Dow Jones lost 2.38%, the tech-dominated Nasdaq index fell 3.95%, and the broader S&P 500 index fell 2.81%.

"There was caution today ahead of Alphabet and Microsoft's results," Edward Jones analyst Angelo Kourkafas commented, "but it's a bit of a surprise all the same because there was no really an identified catalyst."

Alphabet (-3.04%) and Microsoft (-3.74%) thus dragged the Nasdaq down, as did Meta (Facebook, -3.23%), which will present its results on Wednesday, or Apple (- 3.73%) and Amazon (-4.58%), expected Thursday.

Between them, these five companies weigh 21% of the S&P 500.

“In the past, we saw technology stocks falter when bond rates rose,” said Angelo Kourkafas.

"But today, rates are falling because of growth concerns."

The yield on 10-year US government bonds thus eased to 2.72%, its lowest level for almost two weeks.

After trading, Alphabet reported revenue and net profit below analysts' projections.

In post-closing electronic trading, the stock lost nearly 5%.

"There is clearly concern that even companies that are performing better than expected will tend to lower their forecasts," said Tom Cahill of Ventura Wealth Management.

Thus, if the GE conglomerate (-10.34% to 80.59 dollars), in the process of splitting into three separate entities, did better than expected by analysts, for turnover and net profit, it indicated that it is moving towards the lower end of the previously announced target range.

As for the airline JetBlue (-11.41% to 11.57 dollars), it will reduce the volume of its flights by 10% this summer to improve the reliability of its schedules but also to take into account the soaring prices of kerosene. and preserve its margins.

Investors were watching China closely, where the scenario of containment in Beijing is becoming clearer, while authorities reported 17,000 new cases of coronavirus in Shanghai on Tuesday over the past 24 hours.

“The concern is that if China continues to confine, it could lead to further disruptions in the supply chain”, in addition to the slowdown in Chinese demand, pointed out Tom Cahill.

“It could weigh on corporate results” in the second quarter and beyond, as companies are now releasing their first quarter business figures.

On the side, the day after the announcement of an agreement on the takeover of Twitter by Elon Musk, the title of the blue bird frankly moved away (-3.91% to 49.68 dollars) from proposed purchase price of $54.20 per share.

If the operation is a success, Twitter will be delisted, less than ten years after its IPO.

In free fall Monday (-12.90%), DWAC, the listed vehicle which is to accommodate Donald Trump's company dedicated to the media recovered on Tuesday (+ 14.25% to 40.80 dollars).

The former president announced that he would not return to the Musk version of Twitter, even if offered the possibility.

Tesla (-12.18% to 876.42 dollars) is experiencing the confinements in China more and more badly, but also the commitment of its boss in the Twitter file.

Since the beginning of the saga, the title of the automaker has lost more than 20%.

Courier and delivery service UPS was down (-3.47% to $183.05), despite performing better than expected.

The group also confirmed its objectives and doubled the amount of its share buyback program.

© 2022 AFP