Market Extra
S&P 500 nears test of its 200-day moving average
Last Updated: March 4, 2025 at 2:22 p.m. ET
First Published: March 4, 2025 at 10:58 a.m. ET
The tech-heavy Nasdaq Composite flirted with correction territory — defined as a drop of 10% from a recent high — on Tuesday, before erasing losses to turn higher in afternoon trade as chip stocks bounced. The early decline came as major stock indexes extended a selloff tied largely to fears that President Trump’s aggressive tariffs, and retaliation from trade partners, will slam economic growth.
The Nasdaq COMP was up 0.4% at 18,417, after hitting a session low of 17,956.60. A close below 18,156.50 would confirm a correction, with the threshold marking a 10% drop from the index’s record close of 20,173.89, set on Dec. 16. A correction turns into a bear market if an asset falls 20% from a recent high.
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