Retail Investors Flock to Tech Stocks Amid Market Turbulence

Amid a market selloff due to concerns over a Chinese AI startup, individual investors rushed to purchase technology stocks, particularly Nvidia, Tesla, Broadcom, and Apple. This trading activity poured $4.25 billion into the financial markets, marking a significant retail inflow not seen since November elections.

In the wake of a market downturn triggered by concerns over a Chinese artificial intelligence startup, individual investors are seizing the chance to invest heavily in technology stocks, according to a report released by Vanda Research.

Retail investors particularly favored Nvidia, despite its record one-day market value loss earlier this week, accounting for one out of every three dollars of their investments. Other popular choices included tech giants such as Tesla, Broadcom, and Apple, alongside exchange-traded funds focused on the tech sector, like the Invesco QQQ Trust.

As noted by the VandaTrack report's authors, Marco Iachini and Lucas Mantle, a total of $4.25 billion was invested in U.S. markets between Friday and the close of trading on Tuesday. The investment surge lifted the five-day average retail inflow to levels last observed following the U.S. presidential election in November.

(With inputs from agencies.)