The so-called "Make American Great Again" stocks touted by President Donald Trump last month lost more than $1 trillion in market capitalization on Monday.
Microsoft Corporation (NASDAQ: MSFT), Apple Inc. (NASDAQ: AAPL), Google parent company Alphabet Inc. (NASDAQ: GOOGL) (NASDAQ: GOOG), and Amazon.com Inc. (NASDAQ: AMZN) arranged to read as "MAGA," alluding to Trump's 2016 election campaign slogan, all had more than a trillion dollars in valuation individually ahead of Monday.
Redmond-based Microsoft posted the biggest loss on Monday at $405.2 billion, as noted earlier by CNBC. Apple's market cap dropped nearly $372 billion, Alphabet lost $311 billion, and Amazon saw $239.4 billion erased from its market value.
With the latest losses, the technology conglomerate Microsoft is valued at $1.03 trillion and the consumer electronics maker Apple is valued at $1.06 trillion.
The Internet services giant Alphabet dropped to $739.1 billion and e-commerce behemoth Amazon to $840.9 billion.
Why It Matters
The drop in the value of MAGA stocks came as the Nasdaq Index dropped more than 12% at 2,386.13 during the day's trade. Others, including Dow Jones and S&P 500, suffered similar losses in what was the worst single-day performance since October 1987.
The continued spread of the novel coronavirus has affected the economic activity in the country, with citizens being advised to avoid non-essential social gatherings.
Businesses like airlines, hotels, bars, and restaurants are particularly affected, with small businesses struggling from the lack of demand due to reduced customer traffic.
All four of the MAGA companies have also asked their employees to work from home, if they can, to avoid the spread of the coronavirus that has killed 7,154 people worldwide according to data from Johns Hopkins University.
Microsoft's shares closed 14.74% lower at $135.42 on Monday. Apple closed 12.86% lower at $242.21.
Alphabet Class A shares were down 11.63% at $1,037.00 and Class C shares dropped 11.1% at $1,084.33. Amazon closed 5.37% lower at $1,689.15.