Why does NASDAQ is down today?

The NASDAQ Composite Index experienced a decline on November 12, 2024, which can be attributed to a combination of factors:

1. Weakness in Tech and Internet Stocks: Small caps led the stock market, while the NASDAQ composite lagged amid weakness in tech and internet stocks. This suggests that specific sectors within the NASDAQ faced challenges, potentially due to industry-specific factors or broader market trends.
2. Company-Specific Issues: Companies like TSMC and AI-related stocks declined, which had a significant impact on the NASDAQ index. For example, TSMC's American Depositary Receipts (ADRs) fell due to reports that the US Department of Commerce had asked the company to halt the supply of advanced AI chips to Chinese clients. This news likely contributed to the negative sentiment towards TSMC and, by extension, the NASDAQ index.
3. Market Dynamics: The NASDAQ Composite Index is heavily tilted towards technology, with a significant weightage of 48.39% attributed to this sector as of March 2020. When technology stocks face challenges or decline, it can disproportionately affect the index, as was the case with the decline in TSMC and AI-related stocks.

In summary, the NASDAQ's decline on November 12, 2024, can be attributed to a combination of weakness in tech and internet stocks, company-specific issues, and broader market dynamics. These factors, either directly or indirectly, influence the performance of the NASDAQ Composite Index.