It looks like more pain ahead for technology stocks.
Futures on the technology heavy NASDAQ stock market indicate that tech stocks are set to fall sharply Tuesday after the sector suffered its worst sell-off in more than five months to end last week.
The NASDAQ 100 futures implied an open drop of more than 2%. Futures of the Dow Jones Industrial Average were little changed in early morning trading Tuesday and the S&P 500 futures were lower. U.S. and Canadian markets were closed Monday for Labour Day.
Last Friday, stocks snapped a five-week winning streak after a big reversal in major technology stocks such as Amazon, Apple, Microsoft and Facebook drove the tech-heavy NASDAQ down 3.3% to suffer its worst week since March 20. The Dow dropped 1.8% and the S&P 500 fell 2.3%, posting their biggest weekly losses since June.
Many people on Wall Street believe the weakness derived from worries that the massive technology run-up pushed valuations to unsustainable levels. Geopolitics are also weighing on investor sentiment. China accused the U.S. of "bullying" as it launched a global data security initiative on Tuesday. That came as Washington continues to pressure China’s largest technology companies and convince other countries around the world to block them.
Tech Insider
