Happy Thursday! Meta's surprising announcement sent shockwaves through the market, sparking a major selloff in chip and memory stocks and raising questions about one of Wall Street's hottest trades. Discover which stocks could emerge as the biggest winners and losers, and why one strategist believes this could be the catalyst for the next major rotation in tech.

Michael Burry just placed new bets against several of the market's biggest AI winners, but the real story may be what it means for millions of ETF investors. Discover which of the market's most popular funds could be caught in the crossfire and why Burry's latest move is turning heads on Wall Street.

Plus, if you're looking to take the guesswork out of trading, check out today’s sponsor.

Note: The U.S. stock market will be closed Friday in observance of Independence Day. As a result, there will be no edition of the newsletter. We’ll be back with more market news, insights, and analysis on Monday.

In Today's Edition

• MARKET RECAP

• MARKET HEATMAP

• FIVE ZINGERS

• SPECIAL OFFER

BENZINGA TRIVIA CHALLENGE

The race for the Top 4 is on as we head into the final day of this holiday-shortened week. If you haven't played yet — or missed a day — there's still time to climb the leaderboard by taking today's quiz and catching up on earlier quizzes from this week.

Compete for awesome prizes, including Benzinga PRO (a $500 value) and Benzinga EDGE subscriptions. Put your market knowledge to the test with today's 30-second trivia challenge.

Missed yesterday's quiz? Catch up here. The more daily quizzes you complete, the better your chances of landing a top spot. Remember, it only takes one great score to win.

Meta's Compute Bombshell Sparks Chip Selloff — Here’s Why It Could Fuel A Mag 7 Rally

Meta's unexpected AI compute announcement shocked Wall Street, triggering a selloff in chip and memory stocks while raising questions about one of the market's most crowded trades. One market strategist believes the ripple effects could spread across the entire AI ecosystem while fueling a rotation back into the Magnificent Seven.

Find out which stocks could be at risk, which could benefit, and how it could impact your portfolio in a possible major rotation in tech.

Why Over 47,000 Traders Stopped Guessing Which Stocks To Buy

What if you could identify the strongest sectors before the crowd catches on?

Most traders pick stocks in isolation, missing the bigger picture. They wonder why their "perfect" technical setups fail when the entire sector is rotating out of favor.

There's a systematic approach that 47,000+ traders worldwide use to follow money flows from sector to sector.

It's protected by two patents and combines proven methodology with AI-powered global intermarket analysis.

This method reveals exactly when to enter, when to wait and when to exit, eliminating the guesswork that destroys many trading accounts.

Download your free copy of "Top Down Trading" here

Inside, you'll discover how money flows between sectors, what AI contributes to sector analysis and the precise timing signals that separate winning traders from the rest.

Get access now

Stop trading blind. Start trading smart.

Yesterday: U.S. stocks closed lower Wednesday, with the Dow briefly touching a record high before closing down on the day. The Nasdaq slipped the most as memory and chip stocks came under pressure from profit-taking, as well as news that Meta plans to launch a cloud business and sell excess computing capacity. That sank high fliers in SanDisk, Micron, AMD, Nebius and CoreWeave. Treasury yields moved higher, with the 10-year yield climbing near 4.48% and economic data was mixed. The final June S&P U.S. Manufacturing PMI reading was revised down to 53.9, though it remained above the key level (50) for an 11th straight month, signaling continued expansion in factory activity. Lastly, oil traded back below $70 per barrel, giving back nearly all of its recent gains since the war with Iran started.

On Our Radar: Looking ahead, Wall Street will be watching the U.S. employment report, hourly wage growth, initial jobless claims, and factory orders for fresh clues on the strength of the labor market, consumer spending power, and the broader economy.

Shares of Reddit (RDDT), AppLovin (APP), Strategy (MSTR), and Coinbase (COIN) were among the bright spots on Wednesday despite the market down day. Meanwhile, Corning (GLW), SanDisk (SNDK), Micron (MU), Marvell (MRVL) and Nebius (NBIS) were some of the biggest laggards on the day. But those weren't the only companies making big moves. Here's a look at some of the biggest winners and losers from Wednesday's session.

See how the market is moving with our interactive heatmap. Filter by market cap, or click on any box to explore specific sectors or assets in more detail.

Mag Shakeup: The Magnificent Seven just got a major shakeup from one of Wall Street’s top strategists. In an exclusive interview with Benzinga, Jay Woods reveals his updated top two picks and what it means for the road ahead.

Bull Case: Dan Ives says the biggest reason to own SpaceX isn't rockets…it's one tiny number that suggests the company's biggest growth story may still be ahead. Here’s why.

Memory Boom: Wall Street just doubled down on SanDisk with another bold new price target and one key market trend could determine whether the stock has another leg higher or not.

Thread Count: In an exclusive interview with Benzinga, Reddit says it's still in the "early innings" of growth despite reaching 500 million weekly users. See why and management says there's still plenty of runway ahead and why its AI partnerships could become an even bigger asset.

Stock Of The Day: A key technical battleground is forming in Alphabet as shares push right into a zone that has historically triggered reversals. See what traders are watching and where shares could be headed next.

Spot High-Probability Trades In Seconds (50% Off Benzinga Pro)

Save $1,000 on a full year of Benzinga Pro and get: real-time news, live audio squawk, scanners, smart alerts, and more. Get headlines up to 15 minutes sooner too.

Take advantage and get half off now. Sale ends July 4th.

BEFORE YOU GO

Were you forwarded this email? Click here to subscribe.

And be sure to check out our other newsletters:

Future Finance: Where fintech, crypto and the future of finance collide. Future Finance is a perfect lunch read packed with quick bites for industry enthusiasts. Subscribe here.

Advisor: Tailor-made for Financial Advisors, this weekly newsletter has industry-specific insights, analysis, and news. Subscribe here.

Tech Trends: Get the inside scoop on AI, the hottest gadgets and mind-blowing tech trends. Subscribe here.