Each of the five ‘FAANG’ stocks slipped into a bear market during Monday trading.
The FAANG stocks – Facebook, Amazon, Apple, Netflix and Google-parent Alphabet – have fallen steadily over the last 6 weeks as the companies delivered disappointing earnings and mixed forecasts.
Facebook in particular has been hard hit during this round of selling, falling to a new low for the year after a raft of negative publicity surrounding its handling of foreign influence on the 2016 election. Collectively, the five stocks have lost nearly $1 trillion in value since hitting their respective 52-week highs.
Tech stocks are coming off an October which saw the Nasdaq Composite plunge 9.2 percent, its steepest drop in a month since November 2008.
Wall Street defines a bear market as a fall of 20 percent or more from a stock’s 52-week high.