The Nasdaq 100 extended losses to 3.79% on Tuesday, falling 1,114.08 points to 28,300.18 as geopolitical pressure hit an already weak technology session.
The index had traded as high as 29,805.30 earlier in the day before sliding to an intraday low of 28,196.90. The reversal wiped out the early bounce and pushed the tech-heavy benchmark close to a 4% daily drop.
The selloff intensified after President Donald Trump said Iran had shot down a U.S. Army Apache helicopter while it was patrolling over the Strait of Hormuz. Trump said both crew members were safe and added that the United States “must” respond.
U.S. Central Command confirmed that two crew members from a U.S. Army AH-64 Apache were rescued after the helicopter went down near the coast of Oman while patrolling regional waters. CENTCOM said the soldiers were rescued within about two hours, were in stable condition, and that the cause of the incident remains under investigation.
Tech Stocks Reverse Monday’s Relief Trade
Tuesday’s drop reversed the calmer tone that followed Monday’s Middle East relief rally, when Nasdaq 100 futures surged as Iran halted operations against Israel and Trump pushed a final deal.
The new Iran headline hit the same market that had just started pricing lower near-term conflict risk. High-growth technology shares and AI-linked names took the sharpest pressure as traders reduced exposure to the most crowded parts of the equity market.
The Nasdaq 100 had already been vulnerable after recent weakness in chip stocks and high-valuation tech names. The Apache headline added geopolitical risk to that setup, with the Strait of Hormuz returning to the center of market attention because of its role in global energy flows and regional military escalation.
The pressure also carried relevance for crypto traders. Earlier Iran escalation headlines had already pushed Bitcoin into a risk-off move, including the previous Bitcoin price drop after Trump signaled harder military escalation against Iran.
Hormuz Risk Hits Growth Stocks
The Nasdaq 100’s 3.79% decline shows how quickly geopolitical risk can hit growth equities when technology positioning is already stretched. The index includes major non-financial Nasdaq companies across technology, communications, consumer and biotech sectors, making it highly sensitive to shifts in risk appetite and liquidity.
Trump’s statement raised the prospect of a U.S. response, while CENTCOM’s official release kept the operational status narrower: the crew is safe, the helicopter was lost near Oman, and the cause is still under investigation.
The session leaves traders focused on three immediate signals: whether the U.S. releases more details on the Apache incident, whether Iran responds to Trump’s accusation, and whether the Nasdaq 100 can hold above Tuesday’s intraday low near 28,197 after one of its sharpest reversals of the month.
