Stocks sold off this week, with the tech-heavy NASDAQ index in line for the sharpest drop of around 5.4%. There are several factors behind the sell-off. First, valuation concerns are popping up as investors want to know when the payoff in artificial intelligence will emerge.
There’s also the continuing government shutdown, which is starting to have an impact on the broader economy, most notably in the airline sector. Additionally, in the absence of government data, investors received layoff news from Challenger & Christmas, which suggests the labor market may be weaker than expected.
All of this is happening at a time when stocks looked overvalued, so this may be a healthy pullback. That still doesn’t make it comfortable, especially if it begins to accelerate. The MarketBeat analysts can help you make sense of what’s happening and where the opportunities exist. Here are some of our most popular stories from this week.
