According to a recent report, the Nasdaq Composite was headed towards a bear market due to a global stock sell-off triggered by tariffs. The index had dropped by almost 4% on Friday morning, representing a more than 20% decline from its peak in December. Alongside the Nasdaq, other major indexes like the S&P 500 and Dow were also experiencing losses of about 4% and 3.5% respectively.

For the Nasdaq to officially enter a bear market, it would need to close below 16,139.11. At that point in time, the index was trading at 15,876 after recovering from a low of 15,600 earlier in the day.

The market turmoil intensified after President Donald Trump announced significant tariffs, with economists warning of potential recession and inflation risks. The situation worsened as China retaliated with tariffs on all US goods, matching those imposed by the US.

The majority of Nasdaq stocks were in the negative territory, with tech giants like Apple, Nvidia, Broadcom, and Tesla experiencing substantial declines. Apple's shares were down over 4%, followed by Nvidia and Broadcom dropping more than 7%, and Tesla plummeting close to 10%.