S&P 500 flirts with fresh record high, but chip-led softness weighs
Investing.com -- Leading the Magnificent Seven stocks lower in premarket trading on Monday, Tesla (NASDAQ:TSLA) is set to extend losses amid a broad selloff.
This comes as the Trump administration continues to engage in a trade war that economists warn could lead the world’s largest economy into recession.
The Magnificent Seven, a group of prominent stocks, are all showing significant declines. Tesla is down 9.2%, Nvidia (NASDAQ:NVDA) has dropped 6.8%, Amazon (NASDAQ:AMZN) is down 4.4%, Meta (NASDAQ:META) has decreased by 5.0%, Apple (NASDAQ:AAPL) has fallen 4.1%, Microsoft (NASDAQ:MSFT) is down 3.8%, and Alphabet (NASDAQ:GOOGL) has decreased by 3.9%.
Furthermore, contracts on the S&P 500 Index have also declined by 3.4%, setting the stock benchmark on track for a bear market.
The Bloomberg Magnificent 7 index, which is an equal-weighted measure of these stocks, has seen a significant decrease this year.
After an impressive increase of 67% in 2024, the index has fallen 24% this year.
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