The Nasdaq 100 fell more than 4.5% intraday, facing its third technical correction this year.

The Nasdaq 100 index fell as much as 4.5% on Friday, dropping more than 10% from its recent high, facing its third technical correction this year. The index has fallen about 3% this week, with poor earnings reports from Alphabet, AMZN, INTC, and ServiceNow triggering a sell-off in tech stocks. The market is reassessing the ROI of AI investments, and increased funding needs from tech companies are exacerbating sector volatility. Investors are starting to focus on return on capital and the recovery of invested principal. The last time the U.S. stock market experienced three or more 10% swings within a year was in 2022.