On June 5, NASDAQ100 Index ETF-Invesco declined 3.03% in regular trading, trading at $295.645/share with trading volume of $885 million. The sell-off coincided with Nasdaq 100 index futures extending their decline to as much as 2% during the session, following a 1.3% drop the prior day.
The downturn reflects intensifying concerns over persistent inflation and hawkish Federal Reserve policy expectations. Recent data showed CPI running at 3.8% year-over-year and PPI at 6%, indicating a broadening of cost-push inflation pressures. Swap markets now price over 80% probability of a rate hike this year, up sharply from below 10% previously, while the 10-year Treasury yield approaches 4.5%, compressing growth stock valuations. The index was already at historically elevated valuation levels with high sensitivity to rate movements, amplifying the sell-off.
The fund generally invests at least 90% of its total assets in securities comprising the Nasdaq 100 index, which includes 100 of the largest domestic and international nonfinancial companies listed on The Nasdaq Stock Market based on market capitalization. It is non-diversified.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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