Market Summary 25th Jan

Today, the markets started off strong but ended on a weaker note, showing a downside reversal with increased trading volume. The situation seems more pressured after the market closed, especially with $Intel (INTC.US)$ announcing disappointing guidance. This news also affected other tech stocks like $Advanced Micro Devices (AMD.US)$ and $Arm Holdings (ARM.US)$, pulling them down too.

The recent rise in the $NASDAQ (NASDAQ.US)$ has been quite limited in scope, with only a few stocks driving the gains. Additionally, many of the leading stocks are now in what we call 'extended territory', meaning they might be overvalued. With important inflation data set to be released tomorrow, there's a cautious atmosphere. If the inflation numbers are high, it could negatively impact the market leaders and add to the already existing weakness in the broader market.