Mizuho says that inflation fears are the root of the problem

The firm argues that investors are growing more concerned about quicker inflation and that has sparked a selloff in risk assets this week, with tech bearing the brunt.

"While such inflation concern is materialising in higher yields or rates, the repricing of global assets will leave the tech sector vulnerable. The repricing pressure is broad and the tech sector will be more heavily affected. The unfolding pandemic situation and selloff in the semiconductor sector in Taiwan are adding to haven bids and dollar demand."

The final line is more related to the plunge in Taiwan stocks today, in which the TAIEX is still down by over 6% currently.