Tech Wreck Pukes $350 Billion In 3 Days As FANGover Bites

Since Mark Zuckerberg pulled the curtain back on the ugly reality of things, the S&P 500's tech sector has lost over $350 billion in market cap...

Of that, over 60% of the loss in capitalization is due to the four FANG horsemen on the apocalypse...

Facebook is leading the charge lower...

And then there's Twitter...

Nasdaq has broken below its key 50-day moving-average support...

“Sentiment is turning sour in FANG, especially after earnings,” Michael Antonelli, an institutional equity sales trader and managing director at Robert W. Baird & Co, said in an email.

“They are dragging the Nasdaq 100 down by its feet.”

Or to put it another way - there's tech, and then there's everything else...

And if tech is losing its faithful followers then that lowly yellow line in BofA's chart above does not hold much hope for supporting the world's equity markets - especially as central bank balance sheets start to contract.

Comments

Bam_Man Mon, 07/30/2018 - 12:53 Permalink

"...especially as central bank balance sheets start to contract."

ROFLMAO.

Great punchline!

Rodney Dangerfield would be jealous of that one.

Catullus Mon, 07/30/2018 - 12:57 Permalink

Remember the days when fed bailout was $700bn of LSAPs? Let’s ask the eTrade baby. 

Now you know why the Fed doesn’t report M3 anymore. 

 

What sucks is that pensions mostly market the annualized performance off the end of July right? Interesting

koan Mon, 07/30/2018 - 13:12 Permalink

Sell insider shares, stocks drop brings down NASDAQ with it before election, after election "implement reforms" and stocks go back up.

Quivering Lip Mon, 07/30/2018 - 13:22 Permalink

BFD!! Let's not pretend that $350 billion dollars means anything these days. As I said yesterday the entire market cap of all listed stocks in the US in 1978, just 40 years ago was 861 billion dollars. At it's all time high, Apple had a market cap of 956 billion dollars.

 

Bryan Mon, 07/30/2018 - 13:26 Permalink

Wasn't the Naz up more than the other indexes last week or the week before though?  Why wouldn't this move just be 'catching down' to the rest of the made-up reality?