Shares of Big Tech companies took a hit Monday after a surge in coronavirus cases renewed fears of a global economic slowdown.
So far, Apple, Facebook, Amazon, Microsoft and Google-parent Alphabet — the five most valuable U.S. companies by market cap — have collectively lost more than $250 billion in value as part of a broader market plunge, spurred by news that the coronavirus outbreak is spreading rapidly outside China in countries such as South Korea, Iran and Italy. These five tech companies make up nearly one-fifth of the value of the S&P 500, which itself is down more than3.6%.
U.S. stocks on Monday plunged after South Korea raised its coronavirus alert to the “highest level.” Italy also reported a steep increase in confirmed cases. The flu-like coronavirus, named COVID-19, has affected nearly 80,000 people globally, though most of those cases are found in China.
Apple has the largest exposure to China, as it relies heavily on Chinese manufacturing plants for its top products and on Chinese consumers to buy iPhones. The company warned last week that it does not expect to meet its own guidance for the March quarter because of the impact from the coronavirus. The other companies have a smaller presence there, with Google and Facebook basically absent from China entirely, but were hit equally because of broader fears of the outbreak’s effect on the global economy.
The move follows share declines for Big Tech on Friday. Dow-component Microsoft fell more than 3%. Facebook, Amazon, Alphabet and Apple all closed at least 1.5% lower to drag the Nasdaq down.
Latest Stories
-
Empowering entrepreneurs: US government pledges support for women businesses
32 mins -
Security retooling projects strengthen Ghana’s capabilities against threats – Akufo-Addo
37 mins -
Savannah Regional Peace Council sensitises students on violent extremism
41 mins -
NCCE organises dialogue for parliamentary candidates in Ada constituency
41 mins -
Current economic challenges exceed the 1999 – 2000 crisis – Goosie Tanoh
44 mins -
Emancipate yourself from all political slavery – Independent Candidate
45 mins -
Ekumfi people urged to be ambassadors of peace
46 mins -
Kwahumanhene destooled for misconduct – Kwahumanhemaa confirms
51 mins -
Fatal accident in Binduri claims one life, leaves several injured
54 mins -
‘Don’t be trigger-happy’ – Saanie Daara on calls to sack Otto Addo, GFA leadership
59 mins -
EC trains visually-impaired voters in Ahafo on proper use of tactile jacket
1 hour -
Alan to establish ‘Creative Arts Development Fund’ to empower talented creatives
1 hour -
Bono Regional Minister calls for a strengthened local government system
1 hour -
Government constructing housing units for Agenda 111 hospitals
1 hour -
Over 13,585 civilians killed or injured as Russian aggression against Ukraine reaches 1,000 days
1 hour