If you’ve spent any time looking at your portfolio this morning, you’ve probably noticed the sea of red. It’s Wednesday, January 14, 2026, and the tech-heavy index is having a bit of a rough go. The Nasdaq Composite is currently down about 0.8%, hovering around the 23,423 mark.
It's a weird vibe today. Basically, a mix of bank earnings and sticky inflation data is making everyone a little jumpy.
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The Reality of What's the Nasdaq Doing Right Now
Honestly, today’s dip isn't just about one thing. It's a collision of several factors that have been brewing since the start of the year.
Earlier this morning, the December producer price index (PPI) came in. It rose 0.3%, which was right on the consensus but enough to remind people that inflation isn't exactly "dead." Then you’ve got the retail sales numbers. They were stronger than expected. Normally, you’d think "hey, people are spending, that’s great!" But in the current market, that just means the Federal Reserve might stay "higher for longer" with interest rates.
The Nasdaq 100 futures were already sliding by 124 points before the opening bell even rang.
Tech vs. The Banks
While the Nasdaq is our main focus, you can't ignore the banks today. They’re usually the bellwether for the rest of the market.
- Wells Fargo missed earnings and profit estimates, sending their shares down nearly 4%.
- Bank of America actually beat expectations but still slid about 3.6%.
- JPMorgan is still feeling the sting from a 4.1% drop yesterday.
When the big money centers are struggling, it sucks the liquidity and confidence right out of the tech sector. Investors start looking for the exits, or at least a safe place to park their cash until the dust settles.
AI: The Pick-and-Shovel Era
We’ve heard about the AI revolution for three years now. But 2026 is seeing a massive shift in who is actually making money.
The "software" side of tech is getting hammered. Adobe (ADBE) is a prime example. They got downgraded by Oppenheimer yesterday to "Perform" and lost over 5% of their value in a single session. Why? Because Gen AI is making it too easy for anyone to create content. Adobe’s "moat"—that specialized knowledge you used to need—is evaporating.
On the flip side, the "picks and shovels" are still the kings.
- Nvidia (NVDA): Even though it's down about 1.8% today to $182, it’s still the most valuable company in the world.
- Intel (INTC): Surprisingly up about 7% after a strong showing yesterday.
- AMD: Seeing some gains as well, up over 6% in recent trading.
It’s a K-shaped recovery within tech itself. If you build the chips, you’re winning. If you build the apps that the chips are replacing, you’re in trouble. Sorta brutal, right?
The Bitcoin Connection
You can't talk about the Nasdaq right now without mentioning crypto. They’ve become almost inseparable.
MicroStrategy (MSTR) was actually the top-performing stock in the Nasdaq early this morning. It jumped over 6% because Bitcoin is back near the $96,000 range. It’s wild to think that a software company's stock price is now almost entirely tied to a digital currency, but that’s the world we live in now.
Tariffs and the Supreme Court
There’s a giant elephant in the room that most casual observers are missing: the Supreme Court.
We’re expecting a ruling any day now regarding the legality of the International Emergency Economic Powers Act (IEEPA) tariffs. The U.S. currently has average tariff rates near 12%, up from 2% just a year ago. If the court rules that the President can’t impose these without Congress, we could see a massive relief rally. If they uphold it, the "Trump Tariffs" stay, and tech companies with heavy Asian supply chains—think Apple and Nvidia—might see their margins squeezed even further.
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What You Should Actually Do
Look, watching the ticker every five minutes is a great way to get an ulcer.
Most analysts, including those at Morgan Stanley and J.P. Morgan, are still actually bullish for the rest of 2026. They’re calling for the S&P 500 to hit anywhere from 7,100 to 8,000 by year-end. The Nasdaq usually leads those charges.
But the path is going to be "choppy," to use the Wall Street term for "scary as hell."
Actionable Steps for Today
If you're feeling the heat, here's how to play it:
- Check your concentration: If 50% of your portfolio is in three AI stocks, you’re not diversified; you’re gambling.
- Watch the 10-year Treasury yield: If it stays above 4.1%, tech stocks will continue to feel the pressure.
- Look at the laggards: Some of the non-AI sectors like healthcare (specifically biotech firms like TG Therapeutics, which popped 10% today) are starting to show life.
The "One Big Beautiful Act" business stimulus is also starting to kick in, which might help mid-cap tech stocks that have been ignored for the last two years.
Stay patient. The market is currently "unstable," not just "uncertain." That means the rules are changing in real-time. Keep an eye on the earnings reports coming out from the big tech players over the next two weeks—that's where the real story will be told.
Next Steps:
- Review your stop-loss orders on high-volatility semiconductor stocks to protect recent gains.
- Monitor the Supreme Court's docket for the IEEPA tariff ruling, as this will likely cause a 2-3% swing in the Nasdaq within hours of the announcement.
- Evaluate your exposure to "Application Software" companies vs. "Infrastructure" companies to ensure you aren't over-leveraged in sectors being disrupted by LLMs.