Tech stocks recorded their worse day in seven years on Wednesday as the Dow Jones industrial average fell 831.83 points, the third-largest one-day point drop in history.
The S&P 500 Information Technology Index closed at $1,220.62, down 4.8 percent, marking the biggest decline since August 18, 2011, when the index dropped 5.3 percent. All 65 members of the index fell. The broader S&P 500 dropped by 3.3 percent and the Dow Jones Industrial Average tumbled 3.2 percent.
Amazon (AMZN), which is not a constituent of the S&P tech index, fell 6.2 percent, while Apple Inc. (AAPL) and Alphabet (GOOGL) declined 4.6 percent.
Amazon’s Wednesday decline puts the e-retail giant in correction territory.
Most of Wall Street defines a correction as a decline between 10% and 20% from a bull-market high with anything more than a 20% is then known as bear market territory.
Fox Business reports the tech sector’s retreat Wednesday came amid steep declines in all three major stock indexes, driven by investors’ concerns over rising interest rates and corporate earnings.
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