Caroline Hyde

Software stocks, of course, have been at the forefront of this.

They are down about 15% this week and 29% from their all-time highs in September.

It's also important to note that this sell-off has triggered a number of extreme levels from a technical perspective.

The share of software stocks at oversold levels eclipsed 70% yesterday.

That is an all-time high in the broader tech sector.

That share is about 45%, also a record.

And another barometer of how painful it has been, the iShares expanded tech software, ETV, that is ticker IGV, compared to the S&P 500, is the most oversold that it has ever been.

And of course,

That risk-off sentiment is spreading today.

What we've seen so far is that it has really been focused on tech.

So up until today, it's really been a rotation out of tech and into other pockets of the market.

And now we're really seeing the sell-off broaden out.

Looking at the S&P 500, it is down 1.2% right now.

The Dow Jones Industrial Average, which up until today has been kind of shielded from this, is now down 1.2%.

Also, the S&P equal weight yesterday, for example, was up 0.9% even as the broader market sold off.

It is down again today.

So really risk off across the board.

And we have to talk, of course, about Bitcoin.

It fell below 68,000 today, which is the lowest since November 2024, down about 45% from its October high.

Also, big news today that crypto exchange Gemini plans to cut about 25% of its workforce.