Nasdaq falls into correction territory as tech losses accelerate

The Nasdaq Composite Index fell sharply on Monday, turning lower for the year and dropping into correction territory for the first time in more than two years. The Nasdaq COMP, -2.74% lost 2.7%, and is now down 10% from a record high hit last month. That 10% decline puts it into correction territory. The Nasdaq's correction is its first since February 2016, according to data from the WSJ Market Data Group. That stretch of 537 trading days represents the longest period without a correction since a streak of 671 days between November 2012 and July 2015. Both the Dow Jones Industrial Average DJIA, -2.17% and the S&P 500 SPX, -2.40% have been in correction territory since February, though the Nasdaq has recently been supported by strength in large-capitalization technology and internet stocks, preventing losses of the magnitude. These sectors have turned lower of late, however, with Amazon.com Inc. AMZN, -4.51% and Facebook Inc. FB, -2.84% seeing particular weakness. Amazon fell into correction territory last week, while Facebook is in bear-market territory, defined as a 20% drop from a peak. The Dow Jones Industrial Average DJIA, -2.17% fell 2% on Monday while the S&P 500 SPX, -2.40% was off 2.4%.