Tech ETFs slide
In this series, we’ll look at yesterday’s sell-off in the technology sector, which was driven by escalating US trade disputes. We’ll focus on tech stocks’ international exposure in terms of revenue. According to Reuters, “The U.S. Treasury Department was drafting curbs that would block firms with at least 25 percent Chinese ownership from buying U.S. technology firms.”
The SPDR S&P 500 ETF (SPY) fell 1.3% while the Invesco QQQ Trust (QQQ) fell 2.3%. Meanwhile, the First Trust Dow Jones Internet ETF (FDN), the ETFMG Prime Cyber Security ETF (HACK), and the Technology Select Sector SPDR ETF fell 3.1%, 2.2%, and 2.1%, respectively.
BlackBerry falls almost 6%
BlackBerry (BB) stock fell ~6% on June 25. It has fallen 14.6% over the last two trading sessions and 17.2% in the last five days. In fiscal 2018, Blackberry generated 10.6% of its revenue from the Asia-Pacific region, 1.6% from Latin America, 57.9% from North America, and 29.8% from Europe, the Middle East, and Africa. BlackBerry stock is now trading at a 20% discount to analysts’ 12-month median price target of $12.