Red-hot, high-beta stocks are getting smoked today.
While the Dow is off just 0.4%, and the broader S&P is off 0.8%, the NASDAQ is getting walloped to the tune of 1.7%.
Everything that was hot is down.
The biotech ETF IBB is off over 3%.
Twitter is down 5%. Facebook is down nearly 4%. Netflix is off 6%. Tesla is down 4.9%.
That’s just a small sampling of the overall carnage.
Of course there are always stories that people tell when stocks dive. On Friday, when the biotechs were tanking, people were pointing to some complaints from Democrats about high prices for biotechs. Today with Netflix some might point to chatter surrounding Apple’s talks with Comcast about a streaming service. But these are just ex post facto attempts to overlay price moves with a narrative. However it seems that the real, broader narrative is a general hissing sound coming from the hottest stocks in the market.