Tech stocks fell on Thursday as investors looked for signs that a rebound in the U.S. economy could spur more spending.
The S&P 500, the benchmark stock market index, fell 1.6% after the CBOE Volatility index fell to its lowest level since May.
Dow Jones industrial average fell 1%.
The Nasdaq Composite Index dropped 2.2%.
On Thursday, the Nasdaq lost 5.4%.
“Investors are seeing a lot of signs that things are going to rebound and it’s all coming at a very significant cost to the economy,” said Adam Pashinsky, chief market strategist at Fidelity Investments.
The Dow is up more than 500 points this year.
The Nas, down 5%.
The S, down 8%.
“If it gets back to where it was in the spring of 2018 and there is a rebound of the economy, that could lead to a very big boost to the S&s, the S and the Nas,” Pashinksaid.
The CBOE is the best indicator of the outlook for the market.
It is based on historical data and uses sophisticated statistical modeling to predict what stocks will do in the future.
For the week ending Aug. 31, the CBOEs Volatility Index is up nearly 50%.
On Wednesday, the Dow Jones Industrial Average fell 9.2%, while the S.&=amp;&gt=E index fell 8.5%.
The Dow Jones lost 12.3% Thursday.
The index was up more in the week leading up to the trade, up about 10% in the three months through Aug. 21.
For a week ending on Aug. 30, the index was down 2.4% in comparison to a week earlier.
“We’re seeing a real turnaround in the market,” said Pashinski.
“There’s a lot more optimism about things.”
On Thursday the Dow closed at 15,974.03, up 3.1%.
The index gained more than 9% the previous week.
The U.K. market opened at 0.1%, while Germany’s benchmark DAX gained 2.3%.
For the full week, the average stock is up about 4%.