![](\"https:\/\/cdn.images.express.co.uk\/img\/dynamic\/22\/590x\/US-news-global-financial-crash-1547876.jpg?r=1642017218619\")
<\/p>\nWe use your sign-up to provide content in ways you’ve consented to and to improve our understanding of you. This may include adverts from us and 3rd parties based on our understanding. You can unsubscribe at any time. More info<\/p>\n
Investors have rushed to sell off technology stocks which has caused a drop in the US stock exchange. Due to the sell-off in stocks, the Dow Jones has fallen by 434 points (1.2 percent). The Nasdaq Stock Market, the second-ranked US exchange, fell by 2.29 percent in trading.<\/p>\n
The fall in share price has been driven by high bond yields, which have caused expensive stocks to fall in value.<\/p>\n
As reported by Bloomberg, the rush to sell off technology stocks has seen a $1.5trillion (£1.1trillion) run.<\/p>\n
In the first week of this year, some of the most expensive stocks have fallen by 10 percent.<\/p>\n
Morgan Stanley’s Michael J. Wilson said in a note to clients that he expects valuations to continue to fall.<\/p>\n
<\/p>\n
![](\"https:\/\/cdn.images.express.co.uk\/img\/dynamic\/22\/590x\/secondary\/World-us-news-Global-financial-crash-3851532.jpg?r=1642017218724\")
<\/p>\n
He said: “We’ve never seen stocks this expensive for the overall market, which means valuations are likely to come down more before we’re through with this correction.”<\/p>\n
Due to the quick sell-off in stocks, the Cboe Volatility Index has risen rapidly since last Friday.<\/p>\n
The index measures volatility expectations over the next 30 days.<\/p>\n
On Friday, the index had stood at 18.95 but has now surged by 19.3 percent today to 22.38.<\/p>\n
JUST IN: Brexit LIVE: British trade spikes with 822% import surge<\/strong><\/p>\n Experts have pointed to the rise in US 10-year Treasury bonds which is now at 1.8 percent.<\/p>\n It is thought investors will not purchase bonds amid fears over the impending increase in inflation.<\/p>\n Michael Hartnett from the Bank of America tech giants such as Apple Inc, Amazon and Alphabet, Google’s owner, Meta Platforms and Microsoft, are all down to six to 13 percent.<\/p>\n The European Stoxx 600 market also closed 1.3 percent down on Monday.<\/p>\n DON’T MISS<\/strong> In December, inflation also rose to five percent in the eurozone.<\/p>\n The Bank of England is currently tracking inflation at 5.1 percent as of last December.<\/p>\n Experts are also expecting the UK’s GDP to drop in December and January when figures are released.<\/p>\n![](\"https:\/\/cdn.images.express.co.uk\/img\/dynamic\/22\/590x\/secondary\/Global-financial-crash-world-3851533.jpg?r=1642017218840\")
<\/p>\n
Elon Musk blasted for Bitcoin stance: ‘Doing it for the press’ [Latest]<\/strong>
Tory MPs urge Boris Johnson to act now on cost of living squeeze [Update]<\/strong>
‘Never been a better time’: 7 ways to get your finances under control [Insight]<\/strong><\/p>\n![](\"https:\/\/cdn.images.express.co.uk\/img\/dynamic\/22\/590x\/secondary\/World-Global-financial-crash-3851535.jpg?r=1642017218945\")
<\/p>\n
![](\"https:\/\/cdn.images.express.co.uk\/img\/dynamic\/22\/590x\/secondary\/World-Global-financial-crash-finance-news-3851537.jpg?r=1642017219098\")
<\/p>\n