It’s been a year of historic selloffs for U.S. equities.
Marked by surging inflation, jumbo-sized interest rate hikes, a darkening outlook on corporate earnings and recession clouds, the S&P 500 Index has lost 21%, on pace for its biggest slump since 2008. From crypto to former pandemic winners and so-called FAANG stocks, investors have been shaken out of their profit euphoria, sometimes in the blink of an eye.
For those who trod in the wrong places, the outcome has been painful. About half of a $9.1 trillion rout in the S&P 500 Index was the doing of just six megacaps: Amazon.com Inc., Apple Inc., Alphabet Inc., Microsoft Corp., Tesla Inc. and Meta Platforms Inc., each of which erased between $632 billion and $908 billion of market value.
