On Monday, there is a popular technology stock such as Palantir, Nvidia, Rigetti Computing drop.

Tech stocks popular among retail investors fell on Monday as investors took profits on their 2024 winners and dumped more speculative names in a rising interest rate environment.

Nvidia slumped 2%. Palantir down 4%, while quantum computing winner Throw away the computer immersed about 33%. Last year’s Nasdaq winner AppLovin it also sold about 1.5%.

The sale comes amid a rise in bond yields, with the 10-year Treasury yield hitting its highest level since late 2023 on Monday. A strong jobs report on Friday casts doubt on whether the Federal Reserve will continue to cut interest rates throughout this year.

“While tech stocks made big gains as interest rates fell last year, both Wall Street and Main Street have serious doubts about any further rate cuts from the Fed,” the CEO said. of AXS Investments, Greg Bassuk, adding that Friday’s report “cemented” those concerns.

Monday’s moves also follow a week of losses for several key tech and quantum computing names, with Truist’s Keith Lerner noting that the leaders will eventually fall into a corrective phase. The general trend of the market is “still intact”, but is subject to a reset, said the co-chief investment officer.

“This is a necessary part of a correction phase in our view and we are probably further along in this correction than many investors recognize as many stocks peaked in late November, early December,” Lerner said.

Other popular technology stocks also fell on Monday, with Micron Technology down 4%. The declines in the semiconductor sector came amid news of more US government curbs on AI chip exports.

Quantum computing stocks that got a boost from Alphabet’s positive chip announcement last year also fell, with Wave D drop of 33%. IonQ lost 15%. The selloff came in the wake of comments from Meta CEO Mark Zuckerberg, who echoed comments from Nvidia CEO Jensen Huang last week suggesting that useful quantum computers are decades away.