The stock market fell on Friday as the sell-off in tech stocks intensified after Netflix posted lackluster earnings — with the Nasdaq Composite dipping deeper into correction territory and posting its worst week since 2020.
The Dow Jones Industrial Average fell 1.3%, around 450 points, while the S&P 500 lost 1.9% and the tech-heavy Nasdaq Composite 2.7%.
The Nasdaq fell further into correction territory — over 10% from its record highs last November — and has plunged over 7% this week alone, its worst reading since October 2020.
Shares in streaming giant Netflix dragged the index lower, plunging 22% on Friday after the company’s fourth-quarter earnings report showed a slowdown in subscriber growth.
Streaming rival Disney fell nearly 7%, while other big tech names like Tesla and Amazon fell over 5% and 6%, respectively.
Tech stocks have been under pressure of late, largely thanks to a continued rise in Treasury yields this week, with the 10-year US Treasury bond peaking at 1.9% on Wednesday.
Investors have remained focused on the Federal Reserve and how it will deal with rising inflation, with the central bank tightening monetary policy and preparing to raise interest rates as early as March.