Tech stocks are taking a beating on Tuesday and we’re looking to the cause of it in our market update.
First off, let’s take a look at the tech stocks that are falling today. They include the following.
- Apple (NASDAQ:AAPL) stock is down 4.1%.
- Microsoft (NASDAQ:MSFT) stock is down 2.3%.
- Alphabet (NASDAQ:GOOGL) stock is down 3.4%
- Tesla (NASDAQ:TSLA) stock is down 3.4%.
So why are tech stocks down today. There’s a couple of reasons worth noting.
The biggest of which is warnings of increasing interest rates. That comes directly from Treasury Secretary Janet Yellen during The Atlantic’s Future Economy Summit on Monday.
“It may be that interest rates will have to rise somewhat to make sure that our economy doesn’t overheat.”
Adding to that, Wells Fargo’s Chris Harvey is also suggesting that investors are going to start rotating out of tech stocks this month. According to him, investors should rop big tech down to market perform.
Here’s a portion of what he said in an interview with CNBC.
“It’s not that we hate tech. It’s just some of the tech companies are high growth, high risk, [and] high multiple.”
Keeping these two things in mind, it comes as no surprise that investors in tech stocks are dropping the prices as they leave for other investments. That could also mean that we see these shares experience a downward trend over the next few weeks as more shareholders decide to reduce or leave their positions in tech companies.
While tech stocks falling is definitely worth noting, there is other news today that investors should keep up on.
For example, the crypto market is catching the eyes of investors today for several reasons. That includes the youngest Ethereum (CCC:ETH-USD) billionaire, an Anheuser-Busch (NYSE:BUD)/Dogecoin (CCC:DOGE-USD) crossover, as well as a possible clue from Elon Musk concerning DOGE. Investors can catch up on these latest crypto stories at the links below.
Tuesday Crypto News
- Meet Vitalik Buterin: 13 Things We Know About Ethereum’s Youngest Crypto Billionaire
- Budweiser Dogecoin? 7 Brands Drinking Some Pupweiser as DOGE Prices Soar
- Elon Musk DOGE Clue? Why These Dogecoin Investors Think the ‘Dogefather’ Sent a Hidden Message
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.