US markets ended April in red as investors turned their backs on technology companies amid concerns about the economy.
The Nasdaq closed down 13% reporting its worst month since the 2008 financial crisis.
After profiting from the pandemic boom in demand for home deliveries, now Amazon joined a list of top tech firms reporting losses. Apple has already warned that it expects a big hit to its business due to new lockdowns in China.
Poor results in markets reached beyond tech firms. The Dow Jones fell 5% in April and has dropped about 9% since January. It also was its worst month since March 2020, when the pandemic’s impact was first widespread.
The S&P 500 declined 3.63% on April’s last trading, its worst day since June 2020 and its fourth-straight negative week.
According to analysts disappointing results from technology giants Amazon and Apple, intractable supply chain issues, and historic Inflation levels will keep hurting the economy. As shoppers are expected to more careful the Fed is moving to act more aggressively to tame inflation.
Earlier this week, the U.S. reported its economy contracted by 0.4% in the first three months of the year. The European Union said Friday it had seen just 0.2% growth in the first quarter.