04:37 PM EDT, 07/24/2024 (MT Newswires) -- US benchmark equity indexes tumbled Wednesday with the Nasdaq Composite and the S&P 500 hammered by post-earnings sell-offs in Tesla (TSLA) and Alphabet (GOOG, GOOGL).

The technology-heavy Nasdaq slumped 3.6% to 17,342.4, while the S&P 500 slid 2.3% to 5,427.1. The Dow Jones Industrial Average fell 1.3% to 39,853.9. Tech slumped 4.1%, the steepest decline among sectors, while consumer discretionary and communication services both lost more than 3.7%. Utilities led the gainers.

Tesla's shares plunged 12%, the steepest decline on the Nasdaq and the second-biggest on the S&P. The electric vehicle maker late Tuesday posted Q2 earnings that fell short of market expectations amid lower vehicle prices and restructuring charges.

Alphabet's class A and C shares both dropped 5%. The Google ( GOOG ) parent late Tuesday logged stronger-than-expected Q2 results, though management flagged caution about decelerating advertisement trends and more difficult comparisons in H2, D.A. Davidson said in a report.

The reports from Tesla and Alphabet "heightened investor concerns about the dominance of Big Tech stocks that have boosted Wall Street to record highs," the brokerage said.

The US 10-year yield rose 4.8 basis points to 4.29%, while the two-year rate was little changed at 4.42%.

In other company news, Lamb Weston ( LW ) shares plunged 28%, the biggest drop on the S&P. The frozen-fries maker guided for an annual decline in fiscal 2025 earnings after posting an unexpected decrease in revenue and below-forecast earnings in fiscal Q4 amid challenging market dynamics.

Enphase Energy ( ENPH ) shares jumped 13%, the top gainer on the S&P, following price target increases from analysts, probably prompted by the company's in-line Q3 revenue outlook.

AT&T ( T ) shares rose 5.2%, the second-biggest gain on the S&P. The telecommunication giant's Q2 earnings fell from a year earlier, though postpaid phone subscribers rose more than expected and the full-year earnings outlook was maintained.

West Texas Intermediate crude oil rose 0.8% to $77.54 a barrel. Commercial crude stockpiles in the US fell more than forecast last week, with gasoline posting a sizable draw, government data showed.

In economic news, new-home sales in the US fell unexpectedly last month while median prices at the national level returned to sequential growth, government data showed.

Mortgage applications in the US pulled back last week despite decreasing interest rates across most loan types as affordability challenges amid high home prices continued to weigh on prospective home buyers, the Mortgage Bankers Association said.

US private-sector output growth in July increased to the highest level since April 2022, led by the service sector, while the one-year outlook fell to a three-month low, according to S&P Global's ( SPGI ) flash purchasing managers' index.

Gold fell 0.3% to $2,399.30 per troy ounce, while silver dropped 0.8% to $29.11 per ounce.