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Tech Goes From Haven to Hazard as Investors Fear Recession

  • Investors retreating from growth as concern over economy mount
  • Tech-heavy Nasdaq 100 has fallen more than 4% in past two days

Selling is picking up again in the priciest corner of the U.S. stock market -- that of fast growth technology shares -- as investors whipsaw between seeking higher returns and safety.

The Nasdaq 100 Stock Index is wrapping up its worst two-day drop in nearly a month as traders that flocked to the tech sector in recent weeks have started to ditch the shares on Tuesday in favor of utilities and consumer staples. Losses mounted on Wednesday, with the 4% decline in the benchmark ensnaring nearly every stock with high valuations, led by Microsoft Corp. and Nvidia Corp. Meanwhile, defensive plays including Southern Co. and Dollar General Corp. rose.