Because of the nature of it's product, chipmaker Intel has become a bell-weather for the Tech Market. It was therefore not good news when Intel reported late yesterday that it's expected earnings would be taking a hit.
And it wasn't a little hit, it was a bat to the head.
The chipmaker on Wednesday was forced to slash its fiscal-fourth-quarter revenue by $1 billion because of "significantly weaker" demand for its products. Intel now says it expects to post $9 billion in revenue for the quarter, plus or minus $300 million, the company said, compared with a previous forecast of between $10.1 billion and $10.9 billion.
This news caused stocks to drop late Wednesday, so the market ended down 411 points to 8,283.