A 4% drop in global tech shares drove broader equity declines, though staples and healthcare gained as earnings momentum remains strong.
Global equities fell sharply as tech stocks plunged more than 4%, leading a broader market decline of nearly 2%. Despite the selloff, defensive sectors like consumer staples and healthcare rose over 1%, signaling a rotation rather than a broad-based retreat.
Earnings momentum and valuations continue to support equities, with no major sector-specific news triggering the tech drop. Analysts attribute the pullback to positioning and rapid market gains since late March, rather than a shift in fundamentals.
Asia markets showed mixed performance following the selloff, while the overall outlook remains positive amid strong underlying growth.