💻 Tech Sector Faces Significant Declines Amid Tariff Concerns and Economic Turmoil | Tech Sector Insights
(VGT) has experienced a significant decline of 4.9% amid a broader market downturn, with the S&P 500 Index dropping by 3.13%. This decline follows the announcement of new tariffs by President Donald Trump, including a 10% baseline tariff on imports and higher rates specifically for China.
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Monday, April 7
VGT [-4.9%]
Vanguard Information Technology ETF (VGT)
The Vanguard Information Technology ETF (VGT) has experienced a significant decline of 4.9% amid a broader market downturn, with the S&P 500 Index dropping by 3.13%. This decline follows the announcement of new tariffs by President Donald Trump, including a 10% baseline tariff on imports and higher rates specifically for China. In retaliation, China plans to impose a 34% duty on U.S. goods, raising concerns about an escalating trade war that could adversely affect economic growth prospects for the technology sector. Among VGT's holdings, notable declines were observed in NVIDIA, Apple, Microsoft, AMD, and Oracle, with each company contributing negatively to the ETF's performance. Additionally, Samsung Electronics is expected to report a significant drop in Q1 operating profit due to weak sales of memory chips, further impacting NVIDIA. Apple's potential price increase for iPhones due to tariffs may lead to considerable cost surges.