Magnificent Seven ETF Enters Correction Territory on June 23, Down 1.4% as Tech Stocks Stumble

According to MarketWatch, the Roundhill Magnificent Seven ETF (MAGS-US), which tracks Alphabet, Amazon, Apple, Meta, Microsoft, Tesla, and Nvidia, fell 1.4% on June 23 and officially entered correction territory. The ETF has declined 11% since hitting a record high of $70.94 on May 14, closing at $63.14 on Tuesday.

The tech giants now account for approximately 34% of the S&P 500's total market value, with their artificial intelligence capital expenditures surging accordingly. Alphabet, Amazon, Meta, and Microsoft are projected to spend a combined $700 billion on AI initiatives this year. Market analysts suggest the selloff reflects investors rotating profits toward secondary AI beneficiaries and reassessing the long-term returns on massive data center investments.