--- title: "US Market Pulse: Dow Drops 576 Points; Magnificent Seven Valuation Premium Hits Decade Low" type: "News" locale: "en" url: "https://longbridge.com/en/news/292176505.md" description: "Markets diverged with the Dow tumbling 576 points while the Nasdaq edged higher. Morgan Stanley says the Magnificent Seven's valuation premium has collapsed to a 10-year low, calling them \"too cheap.\"" datetime: "2026-07-09T09:28:17.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/292176505.md) - [en](https://longbridge.com/en/news/292176505.md) - [zh-HK](https://longbridge.com/zh-HK/news/292176505.md) --- # US Market Pulse: Dow Drops 576 Points; Magnificent Seven Valuation Premium Hits Decade Low U.S. stock futures edged in narrow ranges on July 9 pre-market, following a mixed session the prior day. On July 8, the Dow Jones Industrial Average plunged **576.76 points**, pressured by Middle East tensions and shifting Fed policy expectations. The S&P 500 shed **21.14 points**, while the Nasdaq Composite bucked the trend, rising **51.96 points** as tech stocks showed resilience. In pre-market news, Morgan Stanley highlighted that the "Magnificent Seven" — including Nvidia (NVDA), Apple, and Microsoft — now trade at a valuation premium of just **10%** relative to the S&P 500, the narrowest in a decade, despite sustaining a **45%** annual earnings growth advantage. Morgan Stanley Wealth Management views these tech giants as currently undervalued and recommends gradually trimming semiconductor exposure while selectively buying back into the Magnificent Seven. **Tesla Mixed: Q2 Deliveries Surge, Robotaxi Timeline Slips** Tesla (TSLA) saw volatile trading in the prior session. On one hand, the company's robotaxi rollout has fallen behind management's original timeline, delaying expected cash flow generation. On the other, second-quarter deliveries exceeded **480,000** vehicles, significantly beating Wall Street estimates and generating substantial incremental revenue and free cash flow. The robust delivery numbers help de-risk its **$25 billion** capital expenditure plan for 2026. **Michael Burry Bets on Gaming Stocks, Adds to JD.com** Latest regulatory filings reveal that hedge fund manager Michael Burry initiated positions in Flutter Entertainment (FLUT) and DraftKings (DKNG), while also adding to his JD.com (JD) stake. Burry argues that prediction markets are exploiting regulatory loopholes and expects the political climate will not tolerate this dynamic, making Flutter and DraftKings attractive following recent share price declines. **SK Hynix US IPO Oversubscribed Over 7x** SK Hynix (SKHY) has drawn more than **7 times** oversubscription for its U.S. IPO, with pricing slated for Thursday. The offering of **177.9 million** ADRs aims to raise approximately **$24.5 billion**, potentially setting a record for a foreign company listing in the U.S. The order book includes global long-only funds and sovereign wealth funds. On the macro front, Amundi expects the Federal Reserve to hold policy rates steady for the next six months and recommends increasing allocations to real assets such as gold and commodities, forecasting gold could reach **$5,500**. Later today, markets await U.S. existing home sales and initial jobless claims data, with economists expecting jobless claims to rise to **217,000** and existing home sales monthly growth to narrow to **1%**. ### Related Stocks - [NVDA.US](https://longbridge.com/en/quote/NVDA.US.md) - [TSLA.US](https://longbridge.com/en/quote/TSLA.US.md) - [FLUT.US](https://longbridge.com/en/quote/FLUT.US.md) - [DKNG.US](https://longbridge.com/en/quote/DKNG.US.md) - [JD.US](https://longbridge.com/en/quote/JD.US.md) - [SKHY.US](https://longbridge.com/en/quote/SKHY.US.md) ## Related News & Research - [Tesla Debuts Its Robotaxis in Orlando and Tampa. What This Means for TSLA Stock.](https://longbridge.com/en/news/293824247.md) - [Elon Musk Just Revealed a Quiet Win for Tesla’s AI Ambitions](https://longbridge.com/en/news/293848955.md) - [Nvidia Just Launched a Product That Will Drive Future AI Factories. SpaceX and Tesla Already Want In.](https://longbridge.com/en/news/293760728.md) - [Sports betting industry spending on US midterm elections surpasses $72 million](https://longbridge.com/en/news/294045458.md) - [As Nvidia Discloses a 9.3% Stake in Nebius, Here’s How You Should Play NBIS Stock](https://longbridge.com/en/news/293504980.md)