Apple stock leads Tech decline as Trump’s tariff triggers market panic

Trending

+Text Size

Small
Medium
Large

Technology stocks tumbled as President Trump’s new tariff policies incited market panic, with Apple leading the sharp decline at nearly 9%. The Nasdaq Composite fell over 5%, its worst performance in five years. Trump imposed tariffs on imports, including a 34% tax on China, escalating fears of a global trade war.

Technology stocks plunged on Thursday after President Donald Trump’s new tariff policies triggered widespread market panic.

Apple led the sharp decline among the “Magnificent Seven” tech stocks, dropping nearly 9%. The iPhone maker, which manufactures many of its devices in China and other Asian countries, is on track for its biggest drop since 2020, according to CNBC.

The tech-heavy Nasdaq Composite fell more than 5%, heading towards its worst performance in over five years. The index has dropped 14% year-to-date.

Other major tech companies also felt the impact. Meta Platforms and Amazon both dropped more than 7%, while Nvidia and Tesla slumped over 5%. Nvidia, which builds its chips in Taiwan and assembles artificial intelligence systems in Mexico, was especially hard-hit. Microsoft and Alphabet each fell around 2%.

Semiconductor stocks suffered as well, with Marvell Technology, Arm Holdings, and Micron Technology falling over 8%. Broadcom and Lam Research dropped 6%, while Advanced Micro Devices fell more than 4%. Personal computer makers Dell and HP saw significant losses, with both stocks falling over 16%.

The sell-off in tech stocks was part of a broader market downturn triggered by fears of a global trade war after Trump unveiled a blanket 10% tariff on all imported goods, along with higher duties targeting specific countries. The new tariffs were described by Trump as a “declaration of economic independence” for the U.S.

The tariff measures include a 34% tax on China, in addition to a previous 20% levy, a 46% duty on imports from Vietnam, and a 20% tariff on goods from the European Union. In response, China’s Ministry of Commerce called for the immediate cancellation of the tariffs and warned of “resolute counter-measures.”

The tariffs came at a difficult time for the tech-heavy Nasdaq, which had already experienced a tough quarter, with concerns about a weakening U.S. economy weighing on stocks. Trump, however, applauded some of the biggest tech companies for investing in the U.S., highlighting Apple’s plan to spend $500 billion over the next four years.

Stay informed with the latest business news, updates on bank holidays and public holidays.

Master Value & Valuation with ET! Learn to invest smartly & decode financials. Limited seats at 33% off – Enroll now!

TOI Business Desk

The TOI Business Desk is a vigilant and dedicated team of journalists committed to delivering the latest and most relevant business news from around the world to readers of The Times of India. The primary focus of the TOI Business Desk is to keep a watchful eye on the global business landscape, covering a wide spectrum of industries, markets, economic trends, in-depth analysis, exclusive reports and breaking stories that impact businesses and economies. With a mission to provide valuable insights and updates, the desk ensures that TOI readers are well-informed about the ever-changing and dynamic world of commerce and can navigate the complexities of the business world.Read More

End of Article