After a brutal sell-off this month, the stock market plunged on Friday and hit new lows for the year in 2022, as investors continued to dump tech shares due to uncertainty around an economic slowdown caused by surging inflation and the prospect of aggressive interest rate hikes.
The tech sell-off in April caused stocks to hit new lows.
The S&P 500 lost 3.6% and the tech-laden Nasdaq lost 4.2% as the market fell over 900 points.
Tech stocks were among the hardest hit by sell-offs in recent weeks, and that's what led to the worst month since October 2008.
The S&P 500 hit a new low this month as investors continue to face uncertainties, from the Federal Reserve's upcoming interest rate hikes and surging inflation to Covid-19 cases in China.
The stock of Amazon plummeted on Friday after disappointing first quarter results.
Intel and Apple were among the tech stocks that moved lower, with gloomy outlooks that spooked investors.
The earnings season so far has been mixed. The major companies that reported lackluster results in recent days have seen big sell-offs. Roughly 80% of the companies in the S&P 500 that have reported first quarter earnings have beaten analyst expectations.
Disappointing guidance from technology giants, Amazon and Apple, have compounded concern that a decidedly more hawkish Fed, coupled with still intractable supply chain issues, and rising energy prices, may make the hope of a soft landing from the Fed more.
Musk sold another 5.2 million shares of the company this week. In the last few days, he has sold over $8 billion worth of stock in the company.
Amazon stock lost $210 billion in one day after inflation.
This week, the total sales of Musk's stock were more than $8 billion.
Is it time to buy both of them again? According to experts, beaten down tech stocks are value plays.
The stock market continues to sell-off.
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