On Tuesday, all three key indices of Wall Street had been hit with heavy whiplashes with tech-heavy Nasdaq leading the tallies of the losses and a slew of US stocks had ended the day broadly lower for third consecutive session in a row amid a mass-scale retreat of the tech stocks over worries of an over-valuation of tech stocks alongside an accelerating trade row between the United States and China.
Apart from that, as a tattering wave of tech swoon appears to have engulfed the day’s Wall St., Tesla Inc. stocks faltered by the most in a single session on record a day after the S&P Dow Jones had barred access of Tesla Inc.
stocks into the S&P-listed league of corporate legends, wiping out more than $80 billion in a single session.
Tech stocks drag drowns Wall St.
In tandem, led by the declines of tech-stocks and energy following a sharp nosedive of oil futures’ prices over supply concerns, the day’s Wall St.
had witnessed all eleven subsectors of S&P 500 winding down the day broadly lower, while a Friday report on Japanese investment conglomerate SoftBank that said the Nasdaq-like tech whale what appears to be inflating tech start-ups’ market caps by capitalizing on its vast portfolio had made substantial scale of option purchases, added to tech investors’ nervousness further.
Aside from that, as a 4.59 per cent drag in tech stocks had led to the worst three-day performance for the benchmark S&P 500 since mid-March on Tuesday’s Wall St., Tesla Inc.
had faltered as much as 21 per cent to $330.06 per share taking account of a five-for-one stock split., while the latest leg of hasty retreat of the tech stocks collectively had led to a loss of $1 trillion in market caps since September 2 for the shares of Facebook Inc, Amazon.com Inc., Microsoft Corp., Alphabet Inc., Tesla Inc.
and Netflix Inc. Citing statistics, on the day’s Wall St. closing bell, Dow took a header of 2.25 per cent to 27,500.89 and S&P 500 was slumped 2.78 per cent to 3,331.84, while the tech-heavy Nasdaq nosedived as much as 4.11 per cent to 10,847.69.
Meanwhile, referring to an over-valuation of a number of Wall St. tech stocks, an investment strategist at Baird in Milwaukee, Willie Delwiche said, “Things got expensive, they ran up, they got very concentrated and people got really giddy.
Everyone is all loaded up on one side, it doesn’t take much of a ripple to knock some apples off the cart. ”