US tech stocks extend losses on potential government intervention news. The US dollar is in a holding pattern ahead of Fed Chair Powell’s Jackson Hole speech.
US Big Tech trimmed losses, with the US dollar holding steady
The highly concentrated mega-cap technology-centric S&P 500 and Nasdaq 100 extended their losses on Wednesday, 20 August, with intraday drawdowns of -1.1% and -1.8% respectively, reinforced by a negative news flow that the US White House administration may seek equity stakes in US chipmakers that received federal grants under the Biden-era CHIPS Act.
Interestingly, intraday losses were pared by the close of the US session, with the S&P 500 down just 0.2% and the Nasdaq 100 losing 0.6%. Meanwhile, the Dow Jones Industrial Average outperformed for a third straight session, finishing nearly flat.
Asia Pacific stock markets were mixed in today’s Asia session. Japan’s Nikkei 225 continued its drop for the third consecutive session and shed -0.6% intraday as it approached a key short-term support zone at 42,513/42,460.
Hong Kong’s Hang Seng Index whipsawed around its 20-day moving average and dropped by -0.5%. In contrast, Singapore’s Straits Times Index inched higher for a third consecutive session, with a minor intraday gain of 0.2%.
The US dollar traded flat in today’s Asia session as the US Dollar Index continues to oscillate within a tight trading range of 0.1% below its 20-day moving average, which is acting as an intermediate resistance at 98.30.
This current form of holding pattern in the FX market may prevail today as traders wait for Fed Chair Powell’s speech at the Jackson Hole Symposium this Friday, 22 August, for hints on whether Powell will shift to the dovish camp from his current staunch “wait and see” approach on US monetary policy.
Yesterday’s intraday rally in Gold (XAU/USD) has stalled at the 20-day and 50-day moving averages, acting as an intermediate resistance at US$3,347/3,352. The yellow metal shed by -0.3% at the time of writing, as it continues to hover within a medium-term sideways configuration in place since April 2025.
Our YouTube video above contains the latest intraday technical analysis on the latest intraday technical analysis on US Wall Street 30, US Nas 100, US SPX 500, Hong Kong 33, Japan 225, Germany 30, EUR/USD, GBP/USD, AUD/USD, USD/JPY, Gold (XAU/USD), and West Texas Oil.
