>> A breather for investors on Wednesday as most big text stocks rebounded after two days of misery. Giving a little boost to the overall stock market before the Thanksgiving holiday. Apple which dropped over 8.5% in the past two days closed nearly unchanged but other big names, Amazon, Alphabet and Facebook saw one day jobs.
>> Tech stocks have been one of the biggest drivers of the longest bull market we've ever had in history. But they've shown some problems in recent months. Companies like Amazon and Apple have said that they have throw gloomy sales forecast for the holiday season which is really important to them.
And then companies like Google have also said they might see some eroding margins in different parts of their business, due to spending on things like data centers. So these are all reasons for investors to be cautious.>> The so-called FAANG stocks, Facebook, Apple, Amazon, Netflix, and Google, all hit record highs between June and October this year.
And together lost nearly $900 billion in value since those highs. And Nellis says, it's not just because of drab holiday sales forecast and fading profit margins.>> Investors are worried, at least in part, about the fading benefits from the US tax reform package that was passed last year.
Those benefits lowered a lot of corporate tax rates in companies like Apple or Intel, pretty much all year long. But most of that benefit is now gonna fade out as we go into 2019 and in some cases like that of Apple, their tax rate is actually gonna go up a little bit.
Because some foreign minimum taxes are actually gonna phase in starting next year.>> On Wednesday, some retailers delivered good news. Foot Locker reported better than expected same store sales, lifting it shares up by more than 15% taking competitors like Dick Sporting Goods and Hibbett Sports up with it.