BUSINESS

United States tech stocks drop as inflation surges

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United States technology stock futures fell sharply in early trading on Friday, June 26, 2026, as investors reacted to stronger-than-expected inflation data and fresh uncertainty over a major technology listing. The Commerce Department reported that the Personal Consumption Expenditures price index, the Federal Reserve’s preferred inflation gauge, rose 4.1 percent year-over-year in May, the highest reading since April 2023 and more than double the Fed’s 2 percent target. Core PCE, which excludes volatile food and energy prices, increased to 3.4 percent, reinforcing expectations that borrowing costs will remain elevated and weighing heavily on the Nasdaq 100 index futures, which headed for a fifth consecutive day of declines. Global technology markets also came under pressure after reports that United States-based artificial intelligence company OpenAI may delay its planned initial public offering until 2027 while seeking a valuation of $1 trillion. The news contributed to a broad selloff in technology equities across Asia and Europe, with South Korea’s KOSPI and Japan’s Nikkei 225 posting steep losses and major tech names such as Samsung Electronics, SK Hynix and SoftBank Group among the worst performers. European benchmarks including the Stoxx 600, Germany’s DAX, France’s CAC 40 and the UK’s FTSE 100 all opened lower, as weakness in technology shares rippled through global markets alongside company-specific declines in firms such as Zalando and STMicroelectronics.

Prepared by Christopher Adams and reviewed by editorial team.

Timeline of Events

April 2023 US PCE last peaked strongly
March 2026 KOSPI suffers steep weekly decline
Earlier this week KOSPI circuit breaker triggered
Friday US tech futures extend losses
May 2026 PCE inflation hits 4.1 percent
May 2026 core PCE climbs to 3.4 percent
Friday reports suggest OpenAI IPO delay
Friday KOSPI and Nikkei indexes plunge

News Intelligence

The surge in inflation and tech stock drop could impact your investments. If you're invested in tech stocks or mutual funds, you might see a dip. It's a good time to review your portfolio. Consider diversifying if you're too tech-heavy.