Tech Stocks Plummet: $750 Billion Wiped Out as Nasdaq Sees Worst Day Since 2022

The stock market witnessed a massive sell-off on Monday, with tech megacaps losing over $750 billion in market value as the Nasdaq recorded its steepest drop since 2022. Fears of a looming recession and escalating trade tensions triggered the sharp decline, hitting major tech giants hard.

Apple, Nvidia, and Tesla Lead Market Meltdown

• Apple saw the biggest loss in absolute value, shedding $174 billion in market cap.
• Nvidia, the AI chip leader, lost $140 billion, closing 5% lower. The stock has now dropped nearly 33% since its January peak.
• Tesla suffered the biggest percentage loss, plunging 15%—its worst single-day decline since 2020. The EV giant has now lost over 50% of its value since December.

Big Tech Stocks Suffer Billions in Losses

The market downturn didn’t spare other tech titans:

• Microsoft lost $98 billion, closing 2% lower.
• Alphabet (Google) dropped $95 billion, slipping over 4%.
• Amazon shed $50 billion, falling at least 2%.
• Meta (Facebook) lost $70 billion, tumbling more than 4%.

The Technology Select Sector SPDR Fund (XLK) dropped over 4%, officially entering correction territory as shares plunged 14% from recent highs.

Nasdaq Hits Six-Month Low as Trade War Fears Grow

Tech stocks saw intensified selling pressure, dragging the Nasdaq to a six-month low. Many companies rely on global supply chains, and the prospect of new tariffs on overseas manufacturing has raised concerns over rising costs and economic slowdown. Former President Donald Trump hinted at the possibility of a U.S. recession, further unsettling investors.

Semiconductor Sector Under Pressure Amid Trade War Concerns

Semiconductor stocks were among the hardest hit, with new tariffs targeting the sector. Last week, President Joe Biden announced a $100 billion investment from Taiwan Semiconductor Manufacturing (TSMC), calling it the "most powerful chipmaker in the world" as part of efforts to boost domestic production.

Semiconductor Stocks Take a Hit

• VanEck Semiconductor ETF (SMH) plunged 3% over the past week and is now down 16% since the inauguration.
• Marvell Technology tumbled 8%.
• ASML Holding and Micron Technology both slid over 6%.
• Broadcom fell 5% amid the broader semiconductor sell-off.

With trade tensions rising, interest rates remaining high, and economic uncertainty looming, tech investors are bracing for more volatility in the coming weeks.

(Sources: cnbc.com)