Market Rotates Into Biotech and Financials as Nasdaq 100 Falls 2.3%
Updated
Updated · TheStreet · Jun 24
Market Rotates Into Biotech and Financials as Nasdaq 100 Falls 2.3%
3 articles · Updated · TheStreet · Jun 24
Summary
Aggressive buying in biotech, retail and financials helped the market rebound from a sharp gap-down open Tuesday, even as the Nasdaq 100 remained down 2.3% and the S&P 500 lost 0.9%.
Breadth stayed 56% positive, pointing to rotation rather than broad liquidation, with some support also returning to select Mag 7 names such as Microsoft.
The report argues the tech bounce is fragile: semiconductor stocks look exposed ahead of Micron earnings, and the AI trade is shifting after easy gains in chips and data centers.
Biotech names including Xeris, Cullinan, Delcath and Harrow were cited as July earnings candidates, while the writer kept high cash levels and waited for a broader selloff to add positions.
That sector rotation fits a wider backdrop of rising volatility in tech, where higher rate expectations and crowded AI positioning have recently driven selloffs.