- Nasdaq 100’s 1.7% first day drop is third-worst since 2001
- ‘January rout in megacap tech is now consensus,’ BofA says
Traders hoping that a pan-markets year-end rally would pick up where it left off got the opposite on 2024’s first trading day, a session that featured one of the worst-ever concerted drops in stocks and bonds to start a year.
The SPDR S&P 500 ETF Trust (ticker SPY) and iShares 20+ Year Treasury Bond ETF (TLT) each fell 0.6% Tuesday, the first time they’ve both slumped so much to start the year since the bond gauge began trading in 2002.
While the first-day performance says little about what markets will do for the rest of 2024, the synchronized retreat signaled at least some hesitation among investors to chase a fourth-quarter rally that boosted both US shares and longer-maturity Treasuries by more than 10%.