Why Nvidia Stock Tanked Another 4% Today
Another day, another tough run for the market. With the Nasdaq Composite down 2.9% as of 1:10 p.m. ET, tech stocks were in all-out retreat ahead of first-quarter earnings reports. Semiconductors, in particular, were under pressure. Nvidia (NASDAQ: NVDA) was down 4.4%, slightly better than its 6% drop earlier in the day.
High-growth stocks have been punished in recent months because of the Federal Reserve's promise to aggressively raise interest rates this year to "fight inflation." Tech investments are collateral damage of this action, since higher interest rates lower the present value of risk assets, like stocks.
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Source Fool.com
