How Low Can It Go? Getting to the Bottom of the Nasdaq Selloff
- Nasdaq 100 falls 11% from July high, entering correction
- Selling is harshest among biggest members of tech-heavy index
The Nasdaq MarketSite in New York.
Photographer: Victor J. Blue/BloombergThis article is for subscribers only.
Momentum has turned in tech stocks and investors awakening from dreams of artificial-intelligence nirvana are back to a less grandiose concern: When will the selling stop?
Down 11% from its July high, the Nasdaq 100 has now erased about a third of its AI-fueled advance, including a bruising two days that just lopped about $800 billion off share values. There’s probably more pain in store, ventured strategists and traders queried Thursday, saying price-earnings ratios have room to compress and that Treasury volatility remains too high to declare a bottom with confidence.