The elite group of U.S. technology stocks known as the “Magnificent Seven” suffered a brutal market selloff on Monday, collectively losing $2 trillion in value amid growing fears over President Donald Trump′s escalating trade war with several countries, including China.
The so-called “Magnificent Seven” tech stocks include Apple, Tesla, Microsoft, Alphabet (Google), Amazon, Meta, and Nvidia.
This dramatic decline extends the tech sector′s painful slump, with these market leaders having now shed $6 trillion since their late 2024 peaks.
Elon Musk’s Tesla tops the loss
Tesla shares led the downward charge with a 7% plunge to $223. Apple, Alphabet, and Microsoft were trading around one-year lows, with the iPhone maker falling 4.8%, while other “Mag 7” members fell between 1.5% and 4.8%.
The group has accounted for a large chunk of the more than $5 trillion the S&P 500 index has lost in value over the past two trading sessions.
- According to a Reuters report, Wall Street analyst Dan Ives of Wedbush Securities earlier issued dire warnings that Apple, as a U.S. tech company, has the biggest exposure to American tariffs on Chinese goods, as most iPhones are assembled in China.
- He said the trade war would also deepen Tesla’s challenges as the electric automaker grapples with a growing brand crisis sparked by CEO Elon Musk’s support of President Trump and far-right politics in Europe.
- The warning underscores growing fears that tariffs could squeeze margins and disrupt supply chains at a time when several technology companies are facing scrutiny over their big AI spending.
Trump says no going back on tariffs
Meanwhile, President Donald Trump is not backing down on his plan to implement sweeping additional tariffs on dozens of countries despite outreach from trading partners eager to avoid the levies, while still signaling he could be open to some negotiations.
“We’re not looking at that,” Trump said on Monday while meeting with Israeli Prime Minister Benjamin Netanyahu in the Oval Office.
Trump said tariffs were “very important” to his economic agenda — and would generally remain — while opening the door to “fair deals and good deals with every country.”
“There can be permanent tariffs, and there can also be negotiations because there are things that we need beyond tariffs,” he added.
- Trump on Monday also threatened to impose an additional 50% duty on U.S. imports from China on Wednesday if it did not withdraw the 34% tariffs it had imposed on U.S. products last week.
- Those Chinese tariffs had come in response to 34% “reciprocal” duties announced by Trump.
“All talks with China concerning their requested meetings with us will be terminated!” he wrote on social media.
Meanwhile, the European Commission has proposed counter-tariffs of 25% on a range of U.S. goods, including soybeans, nuts, and sausages, though other potential items like bourbon whiskey were left off the list.
