$850 Billion Wiped Out as US Tech Stocks Suffer Steepest Drop in Three Months
Market value erased: US technology stocks lost around $850 billion in market value as the sector recorded its steepest decline in three months, driven by renewed fears of Federal Reserve rate hikes.
Inflation sparks concerns: US September CPI rose 3.7% year-on-year, reigniting concerns that the Fed may need to tighten monetary policy further.
Semiconductors lead losses: The iShares Semiconductor ETF plunged 4.5%, reflecting broad-based selling across chipmakers.
Big Tech under pressure: Nvidia and Meta Platforms each fell more than 3%, adding to pressure on the Nasdaq Composite.
Oracle tumbles: Oracle shares dropped 8.8% during the session, among the sharper declines in major technology stocks.
Why it matters: Higher interest rates can weigh on high-growth technology and AI stocks by increasing borrowing costs and reducing the present value of expected future earnings.
$NVDA $ORCL $QQQ
Market value erased: US technology stocks lost around $850 billion in market value as the sector recorded its steepest decline in three months, driven by renewed fears of Federal Reserve rate hikes.
Inflation sparks concerns: US September CPI rose 3.7% year-on-year, reigniting concerns that the Fed may need to tighten monetary policy further.
Semiconductors lead losses: The iShares Semiconductor ETF plunged 4.5%, reflecting broad-based selling across chipmakers.
Big Tech under pressure: Nvidia and Meta Platforms each fell more than 3%, adding to pressure on the Nasdaq Composite.
Oracle tumbles: Oracle shares dropped 8.8% during the session, among the sharper declines in major technology stocks.
Why it matters: Higher interest rates can weigh on high-growth technology and AI stocks by increasing borrowing costs and reducing the present value of expected future earnings.
$NVDA $ORCL $QQQ