Tech stocks plunge amid Iran tensions, oil surge

Tech stocks slid sharply this week, pulling the Nasdaq Composite down 3.23%, marking its worst weekly drop since April 2025.

After four weeks of conflict, the index sits about 9% below its January high.

Back then, tariff threats triggered panic selling. This week, rising oil prices and fears around the Iran conflict unsettled global markets and pushed investors away from tech.

Looking at individual companies, the pain was widespread.

This week alone, Meta Platforms plunged over 11% after losing two key court cases tied to content control on Facebook and Instagram, its main revenue drivers. Alphabet fell nearly 9%, and Microsoft dropped about 7%. Nvidia and Amazon slipped around 3%. Apple stood out with a slight gain.

Since late October, the Facebook parent stock has been down 29%.

Microsoft shares are down 25% as investors balk at AI spending, marking the company’s worst quarters since 2008. Growing competition from OpenAI and Anthropic is also worrying investors, who fear these startups could build agents that rival its products.

Micron’s case highlights another trend. The company’s shares sank more than 15% despite strong earnings.

Revenue nearly tripled to $23.86 billion, with projected margins of about 80%. Still, investors booked profits after the stock’s 300% surge over the past year.

Meanwhile, global risks added pressure. Oil prices hit a three-year high after tensions near the Strait of Hormuz raised concerns about supply.

With uncertainty rising, investors are looking at Elon Musk as Tesla prepares to report deliveries and SpaceX eyes a record IPO.