Tech Stocks Plunge as Tariff Fears Rattle Markets; Nasdaq Drops 2.8%

A sharp selloff in major technology stocks intensified Thursday, as investor concerns over new tariff threats fueled market volatility. The Nasdaq took the biggest hit, dropping 2.8%, while the S&P 500 fell 1.6% and the Dow Jones declined 0.5%.

Tech Sector Takes a Beating

• Nvidia shares tumbled more than 8%, despite reporting strong earnings that beat expectations.
• Analysts cited an “extremely jittery” market environment, with fears that tariff escalations could disrupt supply chains and corporate profits.
• Other Big Tech stocks, including Apple, Microsoft, and Amazon, also saw significant losses.

What’s Driving the Selloff?

• New U.S. tariff threats have raised concerns about retaliatory measures from China and other key trade partners.
• Rising bond yields and uncertainty over Federal Reserve policy continue to pressure growth stocks.
• Investors are rotating out of high-growth tech stocks in favor of safer assets amid mounting economic uncertainty.

What’s Next?

With tariff negotiations, Fed policy, and global economic conditions still in flux, markets may face continued turbulence. Analysts warn that further downside risk remains if trade tensions escalate, making the next few weeks crucial for investors navigating the volatility.