Atlassian, DocuSign stocks down on Microsoft guidance

Yahoo Finance's Brad Smith breaks down how markets are trading, plus how Microsoft earnings are weighing on software stocks.

Video Transcript

BRIAN SOZZI: Brad, over to you.

BRAD SMITH: All right, taking a look at the major averages here. We're 33 minutes into trade, and we've moved actually a leg lower to our intraday lows here for the Dow Jones Industrial Average, now down over 320 points, nearly 4% in the red there. So we'll keep close tabs on that, as we will the NASDAQ composite, which is now down 2 and 1/4% there. And there, same case. That leg lower coming in at about the 9:45 AM marker. And the S&P 500, that's down by about 1 and 1/2% right now.

If we're taking a look at some of the sector activity, no doubt that's going to be led-- or at least the decline is going to be led by technology. Right now lower by about 2.4%. Getting rattled off of some of the Microsoft earnings that we've been breaking down for you.

And then additionally taking a look at some of the mega-cap tech stocks. You're seeing a lot of red here on this screen. We'll give you kind of an equal view on this-- on the day just so you can see and get a picture of how much red.

But also impacted within this is some of the largest software or cloud-solutions players. You've got Atlassian. That's down by about 7% or 6 and 1/2% right now. Datadog, that's down roughly 10%. And then additionally here taking a look at DocuSign, that's lower by 5 and 1/4%. So keep a close eye on those names.

The only movers, at least in the NASDAQ 100, it looks like we've got about eight positive names right now early in trade and led by eBay. Wow. All right. It's up by about 1 and 1/2%.