Nasdaq, S&P 500 end sharply lower, hit by chips, megacaps; Dow extends rally

S&P 500 and Nasdaq fell due to plummeting microchip stocks and potential U.S.-China trade conflicts. Biden's move dropped microchip stocks 6.8%, causing the Philadelphia SE Semiconductor index's largest drop. Nasdaq and S&P 500 fell, while Dow rose, aided by Johnson & Johnson. Federal Reserve's Beige Book highlighted economic expansion. Housing starts, building permits, industrial output exceeded expectations. Rate cuts anticipated.