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Trump's tariffs have triggered a sharp drop in US tech stocks. The Nasdaq 100 has fallen 4 per cent, heading to close more than 20 per cent below its February record. The emerging bear market triggered by concerns that US President Donald Trump's tariffs will push the US economy into recession has wiped out nearly $6 trillion from tech-heavy benchmarks.
The biggest decline in market value has been in companies like Apple Inc and Nvidia Corp. On Friday, Apple Inc's stock was trading down more than 4 per cent. While Nvidia is seeing a decline of more than 6 per cent. Similarly, Meta's stock has also seen a decline of more than 4 per cent. Loss from Trump's tariffs The recent losses came when the Trump administration announced tariff policies, which were seen as the worst-case scenario for tech companies. Especially considering that companies like Apple have high exposure to countries like China as manufacturing hubs. On Thursday, the Nasdaq 100 fell 5.4 per cent, its biggest one-day drop since September 2022. There has been more selling on Friday after China retaliated against those tariffs. This sell-off is the biggest decline for the Nasdaq 100 since 2022, a year that saw the benchmark fall 33 per cent amid slowing economic growth and declining profits. The release of OpenAI's ChatGPT in late 2022 pulled the index out of a slump amid excitement about the potential of new technologies. Investors bet that heavy spending on AI would lead to big profits, with the Nasdaq 100 doubling in a little more than two years, led by Nvidia and other Big Tech stocks.
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