Tech stocks have tumbled on Wall Street, in a sign that America's economic recovery could be stalling.
<p>The S&P 500 lost 3.5% when it closed in New York, while the Nasdaq closed down by almost 5%. The Dow Jones also fell, losing almost 2.8%, completing a bad day for US indexes.</p><p>Shares of Facebook, Apple, Amazon, Microsoft, and Google-parent Alphabet fell between 4.9% and 7% as the "stay at home" stocks lost their shine.</p><p>The companies had been thriving during the coronavirus pandemic, as people spent more time at home, online, and on their devices, while investors had been taking advantage.</p><p>Randy Frederick, vice-president of trading and derivatives for Charles Schwab in Austin, said: "Some of the stocks have gotten a little pricey, and what the actual cause is to spark this selloff is difficult to say.</p><p>"The leading sector for quite a long time has been the Nasdaq, which is very heavily weighted in technology stocks so people just saw this as an opportunity to take the profits off the table."</p><p>The falls came a day after the S&P 500 and Nasdaq both closed at record levels but Mike Zigmont, head of trading and research at Harvest Volatility Management in New York, said the market was simply seeing a "healthy correction".</p><p>He added: "(Investors) are in love with tech stocks and it's going to take more than this for them to fall out of love with them."</p><p>The economy has also been held back by high weekly jobless claims numbers and slower growth in the services sector during August.</p><p>Meanwhile, the pan-European STOXX 600 index lost 1.40% and the FTSE 100 in London fell 1.5%.</p>