ASX 200 tech correction? 5 of the worst-hit shares

Its a sea of red for ASX 200 tech shares. Here are some of today's worst-hit shares like Zip.

S&P/ASX 200 Index (ASX: XJO) tech shares plunged on Wednesday, following a sharp overnight selloff on Wall Street.

Major US indices logged a sea of red with the S&P 500, Nasdaq Composite and Dow Jones Industrial Average down 2.04%, 1.63% and 2.83% respectively.

Headlining the selloff was a jump in benchmark 10-year US Treasury yields, trading at its highest levels since June.

The yield on the benchmark 10-year Treasury note spiked in the past week, surging 242 basis points from 1.304% to 1.546%.

ASX 200 tech shares have thrived under a low-interest rate environment.

The opposite is now unravelling as the Federal Reserve signalled last week that it could begin to reverse its pandemic stimulus and raise interest rates sometime next year.

man grimaces next to falling stock graph

Image source: Getty Images

5 worst-hit ASX 200 tech shares on Wednesday

Tyro Payments Ltd (ASX: TYR)

Things were looking good for the Tyro share price in September, rallying back to pre-COVID levels of ~$4.30 on Monday.

It looks like the recent weakness in tech and broader market volatility has stopped Tyro's road to recovery.

Its shares tanked 5.34% today to $3.90.

Afterpay Ltd (ASX: APT)

Weakness in the Afterpay share price might come as no surprise following Square's selloff overnight.

Afterpay shares have closely tracked the performance of Square after the US payments company came forth with a $39 billion takeover offer in early August.

The Afterpay share price is currently trading 4.11% lower to $122.

Nextdc Ltd (ASX: NXT)

The Nextdc share price has fallen off a cliff in recent days, down 12.62% since last Thursday, 23 September.

Shares in the data centre provider extended their losses on Wednesday, down another 3.77% to $11.99.

Xero Limited (ASX: XRO)

The Xero share price fell off a cliff on Tuesday, sliding 6.49% to $140.10.

The selloff continued today, down another 3.67% to $135.20.

The company has not released any market sensitive announcements since its FY21 results on 13 May.

Altium Limited (ASX: ALU)

Its been a wild ride for Altium shares after it plunged 14.25% on the day of its FY21 results before a V-shaped recovery to 2-month highs.

Volatility continues for the software company, down 2.68% to $34.65 in today's trading session.

Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended Altium, Tyro Payments, and ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended Altium. The Motley Fool Australia has recommended Tyro Payments and carsales.com Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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