American high-tech giant Alphabet thrilled investors during the market rally by reporting consistently higher-than-expected sales and profits. Those happy days are over. Disappointing quarterly results from Alphabet, Google’s parent company, as well as fellow tech giant Microsoft and semiconductor maker Texas Instruments, triggered a massive sell-off in stocks. And those sales could wipe out more than $380 billion in market value for some of America’s largest companies. These developments negate the bets of investors who had assumed that this year’s losses of 5.5 trillion. dollars in stocks of high-tech groups have bottomed out. Quarterly results showed mounting pressure across the board, from corporate computing budgets to spending on digital advertising and semiconductors for industrial equipment.

The Nasdaq 100 fell 2% as the results again focused on the impact of the Federal Reserve’s sharp rate hike on profits and the economy. “The global economy is at a turning point,” said Jessica Amir, head of brokerage Saxo Capital Markets. “A stronger dollar will continue to hurt future corporate earnings at a time when consumer demand is likely to weaken and have a cumulative effect on markets. Pressure remains on riskier asset classes such as high tech.” According to data compiled by Bloomberg, Alphabet posted disappointing earnings per share for three consecutive quarters, the longest such streak in seven years. Sales, excluding payments to distribution partners, were $57.27 billion, compared to forecasts of $58.18 billion. EPS of $1.06 falls short of $1.25 estimate.

Signs of weakness were visible yesterday in corporate statements. Microsoft reported its weakest quarterly sales growth in five years, limited by a stronger dollar, falling PC demand and ad revenue.