By Yasin Ebrahim

Investing.com – The Nasdaq slumped below the 14,000 level Friday, suffering its worst weekly loss since March 2020 as sentiment on tech was further soured by a slump in Netflix following disappointing quarterly results.

It lost 2.7% each week, bringing its weekly loss to 7.5%. They fell 1.9%, while the dropped 1.3% or 450 points.

Tech sentiment was depressed when Netflix (NASDAQ) began its quarterly earnings for large tech companies with disappointing guidance, which sent Netflix’s shares plunging around 22%.

Netflix’s earnings beat expectations. It also reported revenue in line. But its first quarter fiscal forecast for subscriber growth was below estimates. This raised concerns about the possibility of peaking growth in Canada or the U.S.

“Netflix’s first mover advantage and large subscriber base provides the company with a nearly insurmountable competitive advantage over its streaming peers. However, Netflix appears to have hit a ceiling on subscribers in UCAN,” Wedbush said in a note after reiterating its underperform rating and $342 on the stock.

All media stocks were shocked by the Netflix slump. ViacomCBS (NASDAQ:), Walt Disney Under pressure were Discovery (NASDAQ) and (NYSE:).

Semiconductor stocks fell 1.7%, but dip-buying was seen in Texas Instruments (NASDAQ:) and NXP Semiconductors (NASDAQ:) Ending the day in green

The wider market slump was also exacerbated by materials, which were accompanied by an over 8% drop in Ecolab (NYSE) following Ecolab’s fourth quarter guidance being cut due to ongoing supply chain disruptions.  

The biggest impediments to the discretionary consumer sector were Amazon.com (NASDAQ), Tesla (NASDAQ), and Etsy.

Etsy Inc (NASDAQ:) fell more than 6% as Oppenheimer cut its price target on the stock to $225 from $285, citing a “decline in comparable valuations.”

Consumer staples – a defensive concern of the market – was the sole sector to end the day above the flatline. 

Lower market movements coincided closely with volatility. This could be further exacerbated by expiring single stock option totaling $1.28 Trillion later Friday.

Peloton Interactive (NASDAQ 🙂 surged 11% after a rally a day prior. The company had pre-reported higher fiscal Q2 revenue of $1.14billion, an increase from the $1.06billion a year earlier.