LONDON (Reuters) – Global stocks dropped sharply on Friday with richly-valued tech firms taking much of the pain, as a U.S. jobs report flagging unexpected economic weakness struck fear in markets already rattled by downbeat earnings updates from Amazon and Intel.
With thin summer trading likely exaggerating moves, a slump that began in Asia with a 5.8% drop for Japan’s Nikkei, its biggest daily fall since March 2020 during the COVID-19 crisis, rippled through Europe and headed for Wall Street.
MSCI’s global stock gauge dropped 0.8%, European shares fell 2%, the VIX stock market volatility measure, dubbed Wall Street’s fear gauge, hit its highest since April and money poured into government bonds.
Friday’s sell-down followed a softer-than-expected U.S. factory activity survey and the monthly U.S. non-farm payrolls report, which showed job growth…
