Home

 › 

Investing

 › 

Tech Stocks Sell Off: Stock Market Bloodbath Ahead of Tariffs

Tech Stocks Sell Off: Stock Market Bloodbath Ahead of Tariffs

Published: by Omor IE

Key Points

  • The stock market is selling off as PCE inflation came in slightly hotter.

  • Tariffs are expected to take effect next week, so this has compounded the negativity.

  • Tech and AI-related stocks are down the most.

The stock market opened lower and has declined even more this morning as inflation data came in slightly hot, and tariffs are expected to go into effect next week. Tech stocks are down sharply, and this morning’s selloff has wiped out earlier recovery gains.

Many believe that today’s slightly hot inflation read will cause the Federal Reserve to pause on interest rate cuts for even longer. Bank of America CEO Brian Moynihan expects no interest rate cuts this year, and Fed’s Bostic sees just one rate cut. Other Federal Reserve officials have said that tariffs were causing significant uncertainty and would boost inflation. This means rate cuts may not happen, and the pain would linger on.

Here’s a market update as of 11:00 A.M (ET) today.

  • The S&P 500 is down 86.64 points, or 1.52%.
  • The Nasdaq Composite is down 362.5 points, or 2%.
  • Dow Jones Industrial Average is down 570.4 points, or 1.35%.
Invalid Image

Stock Market Sells Off

The recent selloff is being driven by tech stocks in particular. Most of the market is red today, but the Magnificent Seven group of stocks has plunged significantly. Other AI-related plays are also down sharply.

Consumer sentiment is weakening significantly, and with tariffs and the recent inflation report compounding stagflation fears, Wall Street is starting to de-risk portfolios again. Automotive stocks have also sold off sharply due to auto tariffs.

Big-Cap Stocks Down

  • Apple (NASDAQ: APPL): Down 1.54%.
  • Microsoft (NASDAQ: MSFT): Down 2.01%.
  • NVIDIA (NASDAQ: NVDA): Down 1.55%.
  • Amazon (NASDAQ: AMZN): Down 3.62%.
  • Alphabet (NASDAQ: GOOG, NASDAQ: GOOGL): Down ~3%.
  • Meta Platforms (NASDAQ: META): Down 2.87%.
  • Tesla (NASDAQ: TSLA): Down 3.08%. This is after a sharp gain yesterday.

Other AI stocks have also declined significantly. Palantir (NASDAQ: PLTR) is down over 5.4%. Intel (NASDAQ: INTC) is down 3.9%. Oracle (NYSE: ORCL) is down 2.8%, and AMD (NASDAQ: AMD) is down 2.7%.

Notable Gainers Today

  • DBV Technologies (NASDAQ: DBVT) is up 56.3% as it finances a peanut allergy patch.
  • Lexicon Pharmaceuticals (NASDAQ: LXRX) is up 51% after a Novo Nordisk (NYSE: NVO) licensing deal.
  • Argan (NYSE: AGX) is up 25% after a solid Q4 earnings report.
  • TMC (NASDAQ: TMC) is up 16% as it applies for a deep sea exploration license.
  • Abacus Global Management (NASDAQ: ABL) is up 11% after solid revenue growth.

Notable Losers Today

  • Milestone Pharmaceuticals (NASDAQ: MIST) is down 61.3% after an FDA snub.
  • Wolfspeed (NYSE: WOLF) is down 46% due to speculation the company has lost CHIPS Act funding.
  • Lululemon Athletica (NASDAQ: LULU) is down 15% due to tariff concerns.
  • AAR Corp (NYSE: AIR) is down 14.2% due to mixed Q3 FY2025 results.
  • Kopin (NASDAQ: KOPN) is down 24% as it delays annual filing.

The image featured at the top of this post is ©solarseven / iStock via Getty Images.

To top