U.S. stock futures were pointing to a bounce at Wednesday's open after a punishing three-session losing streak that sent tech stocks plunging and the Nasdaq into a 10% correction from last week's record highs. The Nasdaq lost 4% on Tuesday alone.
The Dow Jones Industrial Average on Tuesday lost 632 points, or 2.3%, and the S&P 500 sank 2.8%. Over the past three sessions, the Dow and the S&P 500 did not suffer losses as steep as the Nasdaq, but they were still off 5.6% and 7%, respectively.
Six of the biggest U.S. tech stocks that fueled Wall Street's stunning recovery since its March coronavirus lows lost more than $1 trillion combined in market value in the rout of the past three sessions. Apple, which hit a $2 trillion market cap on Aug. 19, lost about $325 billion in value in the three sessions. Microsoft lost $219 billion. Amazon lost $191 billion. Google-parent Alphabet lost $135 billion. Tesla, which crashed 21% on Tuesday alone, lost $109 billion in the past three sessions. Facebook lost $89 billion.
Tesla rebounded in Wednesday's premarket after its worst single-day loss ever. However, shares of the electric auto maker were still up nearly 300% in 2020 as of Tuesday's close.
Tesla's dizzying climb this year had it up as much as 500% at $502 per share when it reached all time highs on Sept. 1, the day after its 5-for-1 stock split took effect. Since then, as of Tuesday's close, the stock tanked 34%, well into a bear market as defined by a decline of at least 20% from recent highs.
Shares of U.K.-based AstraZeneca, while off the worst levels overnight, were still losing about 1.8% in Wednesday's premarket trading in the U.S., after the drugmaker put its late-stage trial for a potential coronavirus vaccine on hold due to one participant's "potentially unexplained illness." AstraZeneca, which began its trial late last month, is one of three companies currently in late-stage testing. The two others are U.S.-based Pfizer and Moderna, which began their Covid-19 vaccine trials in late July.
Democratic presidential nominee Joe Biden travels to the battleground state of Michigan on Wednesday to propose changes to the corporate tax code that would reward investments in U.S.-based manufacturing and penalize American companies that offshore jobs. The latest CNBC/Change Research poll of six swing state voters, including those in Michigan, shows President Donald Trump didn't get much of a convention boost. Biden holds a 49% to 45% lead in those states, little changed from two weeks ago.