Big Tech Loses Sway as S&P 500 Becomes More Exxon, Less Amazon
- Weighting of tech giants in the index at the lowest since 2020
- ETF investors may be surprised by shift in underlying holdings
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The power the world’s technology giants wielded over the US stock market for years as it surged to record highs has been greatly diminished by the bust of 2022.
Even after last week’s rally, Apple Inc., Microsoft Corp., Amazon.com Inc., Alphabet Inc. and Meta Platforms Inc. have lost more than $3 trillion in market value this year as slowing revenue growth and rising interest rates battered valuations. That’s cut their weighting in the S&P 500 Index to about 19% from a record of more than 24% in September 2020.