Tech stocks were hit hard Wednesday after lackluster results from Alphabet and Tesla stoked concerns that big tech's power to fuel gains was fading.

The benchmark S&P 500 (GSPC) fell more than 2% for the first time in more than a year, while the Dow Jones Industrial Average (DJI) fell about 1.2%. The tech-heavy Nasdaq Composite (IXIC) led the losses, falling about 3.6%, for its worst day since October 2022.

Stocks sank as investors digested mixed quarterly results from Google parent Alphabet (GOOGL, GOOG) and Tesla (TSLA), the first of the megacaps /"Magnificent 7/" to report. Electric vehicle maker Tesla's stock price fell more than 12%, while Alphabet's stock fell more than 5%.

In total, the 7 Magnificent technology stocks lost more than 750 billion in market capitalization on Wednesday, the highest figure ever recorded for the group.

Chip stocks also fell on Wednesday, with Nvidia (NVDA) falling nearly 7%, while Broadcom (AVGO) and Arm (ARM) each fell about 8%.

In economic news, new data from S&P Global showed on Wednesday that U.S. business activity grew at its fastest pace in more than two years. Next are Thursday's second-quarter GDP numbers and Friday's key release on June PCE inflation, the report favored by the Federal Reserve.

#stocks #inflation #YahooFinance #recession #bitcoin #Biden #Stocks #coronavirus #memestocks #Fed #YahooFinance #investing #stock market #crypto

Read more: https://finance.yahoo.com/news/stock-market-news-today-stocks-smoked-nasdaq-falls-over-35-in-worst-day-since-2022-after-tesla- alphabet -trigger-big-tech-sell-off-170849829.html

Please take the opportunity to connect and share this video with your friends and family if you find it useful.