Up 34% in 2023, Is It Safe to Invest in the Nasdaq Right Now?
The bear market dragged down all three major indexes last year, but the Nasdaq Composite had it the worst. That's because the benchmark includes many high-growth players, such as technology stocks, and these types of investments are the first to suffer during times of higher inflation and general economic woes. But the good news is that they often are the first to rebound when market conditions improve. And that's exactly what's happening today.
The Nasdaq has rallied by 34% so far this year, outperforming the S 500 and the Dow Jones Industrial Average. This is as many of last year's beaten-down technology players -- such as Amazon (NASDAQ: AMZN), Tesla (NASDAQ: TSLA), and Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) -- rebound.
This may be reason for you to cheer if you already own shares of these or other Nasdaq companies. But what about if you're looking to add to your positions, open new positions, or start investing from scratch? Though markets are on the rise right now, they still could dip on any disappointing economic or company news. So, after such gains, is it safe to invest in the Nasdaq right now?
Source Fool.com
