U.S. stocks plunged 800 points, Tesla plunged 12%, and the five major technology stocks plunged two trillion!
Tesla plunged 12 percent, wiping out 820 billion in market value
Drop three "tweets"
Just after Twitter announced on Monday that it accepted Musk's takeover offer, Tesla stock began to plummet on Tuesday.
There are three reasons that analysts in the market generally agree:
1. Musk may sell Tesla stock to raise funds to buy Twitter.
At present, although Musk is still the "richest man in the world", the main component of his wealth is Tesla stock. Therefore, many investors expect Musk to sell Tesla shares to cash out in order to acquire Twitter. Previously, Musk's selling of Tesla stock caused Tesla to fall sharply.
2. Musk's acquisition of Twitter will distract its management efforts.
At present, Musk's companies include Tesla, SpaceX, tunnel construction company Boring Company and Brain-computer interface technology company Neuralink, involving industries spanning automotive, aerospace and medicine. If the acquisition of Twitter is successful, its investment map will involve the media field, and the market is worried that when Musk spends his energy managing Twitter, Tesla will "fall out of favor".
3. Two major officials have spoken out, questioning Musk's acquisition operations.
On Tuesday, two U.S. executives spoke out about Musk's acquisition of Twitter, and even mentioned antitrust laws, which made the market worry that Musk's listed companies may face more regulatory measures. U.S. Senate Majority Leader Chuck Schumer said Tuesday that Democrats will continue to study antitrust bills against tech giants. Schumer also bluntly said, "Hopefully Musk's acquisition won't make Twitter darker." ”
Senate Minority Leader McConnell said Tuesday that "Musk's acquisition of Twitter will be closely watched, which is incredible, and it is worth paying attention to how the acquisition will affect Twitter's operations." ”
For the reasons mentioned above, Tesla plunged 12% on Tuesday, and its market value evaporated by $125.626 billion, or about 823.7 billion yuan. As of Tuesday's close of EST, Twitter's market value was $37.935 billion, which means that Tesla's market value has evaporated 3.3 "Tweets" in one day.
The new energy vehicle sector has also collapsed, and individual stocks have generally fallen. Xiaopeng Motors fell 6.20%, WEILAI fell 5.49%, Ideal Automobile fell 5.20%, Lucid fell 8.74%, and Rivian fell 9.50%.
The big five tech stocks plunged two trillion
Affected by Multiple Factors such as Tesla's sharp decline, deepening economic recovery concerns, and interest rate hike pressure, on Tuesday, Eastern Time, technology stocks did not continue the previous small rebound trend, but collectively fell sharply.
Apple fell 3.73 percent, wiping out $99.1 billion in market value, or about 650 billion yuan.
Microsoft fell 3.74 percent, evaporating $78.8 billion, or about 516.7 billion yuan.
Google A fell more than 3 percent, evaporating $57 billion, or about 373.8 billion yuan.
Amazon fell 4.58 percent, evaporating $68.1 billion, or about 446.5 billion yuan.
Meta fell 3.23 percent, evaporating $16.4 billion, or about 107.5 billion yuan.
The five major technology stock markets have evaporated a total of about 1,997.7 billion yuan.
Among them, Microsoft released the third quarter of fiscal 2022 on Tuesday, even if the overall financial report is in line with expectations, but its stock price is still falling under the influence of the general decline in the broader market. According to the earnings report, Microsoft achieved revenue of $49.4 billion in the third quarter, slightly higher than the market expectation of $49.04 billion; net profit of $16.728 billion, an increase of 8% year-on-year; and earnings per share of $2.22, higher than the market expectation of $2.19.
In addition, Google also released its earnings report after hours on Tuesday. According to its earnings report, Google parent company ALPHABET achieved revenue of $68.01 billion in the first quarter, compared with market expectations of $67.98 billion; earnings per share of $24.62, lower than market expectations of $25.71. After the release of the earnings report, its after-hours stock price fell sharply by more than 6%.
The Dow plunged 800 points
The NASDAQ plunged nearly 4 percent, hitting a new low for the year
In addition to technology stocks, U.S. aviation stocks and bank stocks also fell across the board. Among them, Boeing fell 5.11%, American Airlines fell 6.06%, Delta Air Lines fell 3.17%, Southwest Airlines fell 3.08%, and United Airlines fell 4.76%.
In addition, JPMorgan Chase fell 2.97%, Goldman Sachs fell 2.58%, Citi fell 1.76%, Morgan Stanley fell 3.25%, Bank of America fell 2.25%, and Wells Fargo fell 2.75%.
Dragged down by multiple sectors, the three major stock indexes fell across the board, and by the close, the NASDAQ index fell 3.95% to a new low in the year; the Dow Jones index fell 2.38% or 809.28 points at 33,240.18 points; and the S&P 500 index fell 2.81% to 4,175.20 points.
Russia stopped supplying oil to Poland
Crude oil rose sharply, and U.S. oil weighed 100 U.S. dollars
There are also major events on this side of the situation in Russia and Ukraine. Last night, the news came out that Russia had stopped supplying oil to Poland, and this morning, more details broke out about the incident.
According to CCTV in the early hours of this morning, on April 26, local time, the Polish Oil and Gas Company (PGNiG) released a message saying that it received a notice from Gazprom that the supply of natural gas will be completely stopped from the 27th of this month.
Polish oil and gas companies said it was a breach of contractual obligations by Russia to stop gas supplies.
Under the influence of related news, the market is worried that Russia's supply cut has a far-reaching impact, crude oil prices have risen, U.S. oil, cloth oil have risen more than 3%, and U.S. oil has also weighed on the $100 mark.