Share of Google parent Alphabet Inc. GOOGL, -1.99% has dropped into bear market territory for the first time in seven years in afternoon trade Monday, amid a broad and sharp selloff in the technology sector.
The stock was down 3.6%, on track for the lowest close since May 3, as the SPDR Technology Select Sector ETF XLK, -1.68% shed 3.7%, with all 65 of its components trading lower.
The S&P 500 SPX, -1.66% was down 1.8%. Alphabet’s stock’s intraday low of $1,026.86, it was 20.1% below its July 26 record close of $1,285.50; many on Wall Street define a bear market as a decline of 20% or more from a bull-market peak.
A close at or below $1,028.40 would mark the end of the current bull market, and start of a new bear market, since it came out of the last bear market on Oct. 14, 2011. The stock was last down 3.7% at 1,029.23.
The other three original FANG stocks–Facebook Inc. FB, -2.11% Amazon.com Inc. AMZN, -3.17% and Netflix Inc. NFLX, -3.27% –are already in bear markets, while the honorary FAANG stock–Apple Inc. AAPL, -2.66% also dipped into bear market territory intraday Monday before bouncing back out.