Following last week’s market fall, technology stocks have hit one milestone after another: Apple Inc. is no longer the world’s most valuable business; Amazon.com Inc. is on its longest losing streak in 14 years, and the Nasdaq 100 index is reaching its largest weekly decline since January.
Coinbase and Peloton Results Compound Stunning Stock Drop
Analysts point the finger at the US Federal Reserve as lawmakers race to boost interest rates quickly to combat inflation and supply chain issues that have harmed earnings estimates.
Investors are abandoning growth stocks due to inflated valuations, and the crypto market’s instability is aggravating the mounting wall of anxiety.
As of Friday’s end, the Nasdaq 100’s market value had plummeted by over $982 billion, with big tech accounting for the majority of the loss.
Microsoft Corporation lost $120 billion, bringing its market value below $2 trillion, and Amazon.com Inc.’s $48 billion loss was nearly enough to knock her out of the $1 trillion clubs entirely.
The dramatic sell-off in the industry was just the latest example of investors fleeing IT and Internet firms. The pandemic’s one-time winners disappointed investors, and some poor financial statements were simply the latest pretext for additional market losses.