Stock Market Tanks as Big Tech Plummet Follows Record High
Amid fears of a second wave of coronavirus cases.
Just earlier this week, NASDAQ reached a record high, surging over 10,000 for the first time in its history largely thanks to the performance of FAANG stocks (Facebook, Amazon, Apple, Netflix and Google) as well as Microsoft and Tesla. The markets however, took a turn for the worse on Thursday, with NASDAQ, the Dow Jones and the S&P 500 all plummeting by day’s end.
More specifically, NASDAQ dropped by 5.3 percent, while the Dow Jones lost 1,800 points, marking a 6.9 percent decrease, and the S&P 500 shedding 5.9 percent. Much of the market’s underperformance can be attributed to the tech industry, which was hit particularly hard by concerns that there may be a second wave of coronavirus cases as various states reopen for business and relax existing social distancing and lockdown rules.
The top five tech giants lost an aggregate of $269 billion USD in value: Microsoft lost 5 percent (equating to $80 billion USD in value), Facebook shares plummeted more than 5 percent, Apple down 4.8 percent, Alphabet (Google) decreased by 4.29 percent, and Amazon dropped 3.38 percent. Cisco and IBM saw even more significant losses, closing at -7.91 percent and -9.1 percent respectively.
Elsewhere in business-related news, Guess is shutting down 100 stores worldwide.
