March 27 - The Nasdaq Composite slipped back into correction territory this week, reversing a brief rebound as investor concerns over U.S. tariff policies resurfaced. On Wednesday, the index shed more than 2% due to rising tariff concerns.

Overall, the tech-heavy benchmark has retreated more than 10% from its December peak, pressured by fears that tariffs proposed by U.S. President Donald Trump may elevate corporate costs and curb consumer spending. The pullback comes after two years of robust gains for the index, driven by optimism around artificial intelligence and expectations of lower interest rates.

The Nasdaq left its correction period behind during an earlier time this month as investors expected moderate trade policies. Trump mentioned his willingness to be flexible through remarks which implied special treatment for pharmaceuticals along with semiconductors and other selected industries. The market reacted with trepidation because administrators have not specified the magnitude and point when these tariffs would come into effect.

Historically, the Nasdaq has recovered quickly from corrections, gaining in four of the past five instances within three months. Still, analysts warn that uncertainty over trade and monetary policy could continue to sway sentiment.