Retail Investors Dump $257 Million in US Stocks as Nasdaq Slides 5.2% on AI-Chip Sell-off
Updated
Updated · Yahoo Finance · Nov 6
Retail Investors Dump $257 Million in US Stocks as Nasdaq Slides 5.2% on AI-Chip Sell-off
2 articles · Updated · Yahoo Finance · Nov 6
Summary
$257 million of net retail selling hit individual US stocks on Thursday, making it the fifth-biggest one-day outflow since March 17, 2020, according to Vanda Research.
A sharp AI and chip sell-off drove the retreat, sending the Nasdaq Composite down 5.2% and wiping out gains from Wednesday's post-election rally.
Vanda called the move a break from retail investors' usual dip-buying pattern, saying there were "no signs of buying the dip" in single stocks.
Late-session buyers trimmed the outflow from an even steeper level earlier in the day, while some demand persisted in leveraged ETFs such as TQQQ and SOXL.
Vanda's strategist said the retreat also reflected a broader buyers' strike among institutions and forced selling by systematic and leveraged strategies.