IXIC: Nasdaq Briefly Dives into Correction but Tech Lovers Jump to Buy the Dip

Reckless or tactful — traders scooped up shares of heavily battered tech stocks and pulled the Nasdaq out of correction territory.

🌊 Nasdaq Floats Around Correction

• The Nasdaq Composite IXIC seesawed Tuesday after a bunch of big countries responded to Trump’s tariff hikes with their own retaliatory countermeasures. The tech-heavy index dived as deep as 2% for its session low, bringing its total losses from record to 10%.
• There’s a term for that and it’s called a correction. The dip acted like a switch to tech-loving traders who rushed in to save their darling equity gauge.

💫 Rebound Activated

• And it worked — the tech-dense index pulled out of the slump and actually closed the session lower by 0.3%. It was the eighth day in red out of the past nine days as market participants have been struggling to figure out how to trade Trump’s drama-making decisions.
• Elsewhere, the rebound was broad based with the S&P 500 pulling a slingshot move from wiping out all post-election gains to closing the day lower by 1.2%. The Dow was the biggest loser, ending the session lower by 670 points, or 1.5%.

👀 What to Watch for Down the Week

• By the looks of it, traders are ready to fire back at any bearish threats as their relentless optimism continues to keep things moving forward. How long can they sustain the momentum? It depends on what happens with all the data coming over the next few days.
• Private sector growth is coming Thursday along with the S&P Global Services PMI for February and the non-manufacturing prices and PMI, also for February. The thunder is on Friday — jobs data is expected to show a tick higher by 153,000 workers added in February.