The Nasdaq 100 (NDX) index was down on Friday as the stock market continued to reel from President Donald Trump’s Liberation Day. With that event came universal tariffs on imports to the U.S., as well as additional tariffs on specific countries. This is part of the President’s plan to return manufacturing to the U.S. and force trade negotiations with other countries.
That strategy has started to bear fruit, as many companies have announced plans to increase U.S. manufacturing. The President also conducted a productive call with Taiwan today concerning trade. However, it doesn’t come without risks, as China has retaliated against the U.S. with 34% tariffs on imports. Other countries are also considering retaliatory measures.
This has stock market investors worried about the future of the economy. These concerns are reflected in today’s Nasdaq 100 index movement, which is down 4.69% this afternoon, extending a three-month 14.09% decrease and an 11.85% year-to-date fall.
Today’s Nasdaq 100 Index Heatmap
Turning to the Nasdaq 100 index heatmap, traders will see just how badly the stock market has performed today. There’s a massive amount of red on the heatmap today as almost every stock is negatively affected by the President’s tariffs. Investors who believe the market is overreacting would do well to buy shares on this dip ahead of a potential rebound.
The Best Way to Invest in the Nasdaq 100 Index
Investors may consider taking a stake in companies listed on the Nasdaq 100 index. However, doing so would require a hefty amount of moderation to track all of those stocks. Instead, an easier option is buying shares of an exchange-traded fund (ETF) that tracks the NDX index.
One choice for investors who want to bet on the success of the Nasdaq 100 is the Invesco QQQ Trust (QQQ). Those who believe the index will fail will want to consider a stake in ProShares UltraPro Short QQQ (SQQQ).
