Magnificent 7 Lose More Than $250 Billion As Blazing Inflation Data Triggers Market Sell-Off
Portfolio Pulse from Piero Cingari
The 'Magnificent Seven' tech stocks lost over $250 billion in market value due to a sell-off triggered by higher-than-expected inflation data. Microsoft, Apple, Alphabet, Amazon, Meta Platforms, NVIDIA, and Tesla saw significant losses, with Microsoft and Tesla being the most affected. The inflation report led to a market reset, dimming hopes for Federal Reserve rate cuts and causing the S&P 500 and Nasdaq 100 to drop significantly.
February 13, 2024 | 8:58 pm
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
Microsoft lost nearly $75 billion in market cap after a 2.45% drop, the most among the Magnificent Seven.
Microsoft's significant market cap loss and percentage drop indicate a strong negative impact from the inflation data-driven sell-off.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 90
NEGATIVE IMPACT
Invesco QQQ Trust (QQQ) experienced about a 2% fall following the inflation report, impacting tech-heavy Nasdaq 100.
QQQ's drop is indicative of the tech sector's sensitivity to inflation data and monetary policy expectations, affecting Nasdaq 100.
CONFIDENCE 80
IMPORTANCE 80
RELEVANCE 80
NEGATIVE IMPACT
SPDR S&P 500 ETF Trust (SPY) fell 1.6%, marking its worst performance in nearly a year due to the inflation report.
The SPY's significant drop reflects the broader market's negative reaction to the unexpected inflation data and adjusted Federal Reserve rate cut expectations.
CONFIDENCE 80
IMPORTANCE 80
RELEVANCE 80
NEGATIVE IMPACT
Tesla experienced the worst stock performance among the group with a 2.93% drop.
Tesla's position as the worst performer in stock percentage drop among the Magnificent Seven highlights its vulnerability to market shifts.
CONFIDENCE 85
IMPORTANCE 85
RELEVANCE 90