Stock market today: Stocks fall from records as Tesla, Nvidia lead tech sell-off
What caused the recent tech stock sell-off?
The recent tech stock sell-off was caused by a combination of factors, including inflation concerns, a shift in investor sentiment, and a rotation out of high-growth stocks. Investors are now more cautious about high valuations in the tech sector and are looking for opportunities in other sectors that may benefit from an economic recovery. Additionally, concerns about inflation and rising interest rates have led to a shift away from growth-oriented stocks like tech companies.
How much did the Consumer Price Index drop last month?
The Consumer Price Index (CPI) dropped by 0.1% last month, marking the first month-over-month decline since May 2020. This decrease was largely driven by falling gas prices and a drop in new and used car prices2.
Why did Tesla shares drop over 8% recently?
Tesla shares dropped over 8% recently due to a Bloomberg report stating that the company plans to delay its highly anticipated robotaxi unveiling to October, from the initial date in August1. This caused investors to rotate out of the stock, leading to the significant drop in share price.