Retail Investors Led Thursday’s $3.7 Trillion U.S. Stock Rout

Retail selling and fund cuts drove a roughly $3.7 trillion decline in U.S. stock market value Thursday, as options hedging and rules-based rebalancing added pressure. The Nasdaq 100 recorded its sharpest one-day drop since March 2020. Markets initially rose after the midterm elections as event risk eased and oil prices fell. They reversed within about 24 hours as investors reassessed risks tied to Democratic scrutiny of data center expansion. Retail investors began selling during the first half-hour of Thursday’s session, followed by hedge funds and long-only asset managers.

Source: TokenPost