US stocks plunge as tech sector loses $595 billion in value
Not a good day to check your 401K.
The S&P 500 suffered its first loss of over 1% since the end of April, while the small cap rally ran out of steam and tech stocks remain stuck in the penalty box.
The Nasdaq 100 was crushed, down 2.9% in its worst day since December 2022. The US tech sector lost $595 billion in market capitalization today. This was second-worst day of value destruction for tech stocks in history, surpassed only by the heights of the coronavirus-induced bear market in March 2020.
Political hijinks – on both sides of the aisle – fueled a massive selloff in semiconductor stocks, with the VanEck Semiconductor ETF ending down 7.1%.
Nvidia alone erased nearly $206 billion in market cap today – roughly equivalent to the value of Wells Fargo.
The Russell 2000 Index broke its streak of five straight sessions up more than 1% with a 1.1% decline.
Consumer staples, energy, real estate, and financial S&P sector ETFs posted solid gains.
Johnson & Johnson was a particularly bright spot, up 3.7% after reporting better than expected quarterly profits.
