The Nasdaq Closes in a Correction

Key takeaways

The Nasdaq index has officially entered correction territory, raising concerns about economic stability.
Iran is suspected of orchestrating attacks on Jewish communities in Europe through questionable recruitment methods.
Political tensions regarding Iran's military actions are causing a rift between U.S. and European allies.
Rising mortgage rates may hinder the recovery of the U.S. housing market as the spring buying season approaches.
Lean In is shifting its approach to address modern gender debates against narratives prioritized by the 'manosphere'.
Wall Street bonuses are at an all-time high, yet are insufficient to cover New York City’s financial gaps.

Summary

Market Update: Nasdaq's Correction

The Nasdaq index has entered correction territory, falling 2.4% and marking over a 10% drop from its recent peak in October. Investors are concerned about inflationary pressures and the potential impact of the ongoing conflict in Iran on technology and software sectors. The broader markets including Dow and S&P also declined, while Brent crude prices increased significantly.

Iran's Involvement in European Attacks

Officials in Europe suspect Iran's involvement in a series of attacks targeting Jewish communities across the continent. Investigations suggest that Iran may be recruiting individuals—often unaware of their true benefactor—to carry out these assaults. This tactic mirrors strategies employed by Russia, highlighting an emerging method of engaging in proxy operations.

Politics of U.S. and Iran Relations

Tensions between the U.S. and Iran continue to escalate, with Secretary of State urging allies to take a more proactive stance regarding Iran's activities. The unfolding dialogue surrounding Iran's nuclear capabilities and military actions has sparked differing views among Western leaders, including strong criticism from European politicians like Spain's Prime Minister.

Impact on Housing Market

The U.S. housing market faces challenges with rising mortgage rates now averaging 6.38%. This trend poses a threat to the spring home buying season, which many hoped would signal a recovery in residential real estate. In a notable shift, Freddie Mac announced it will allow homebuyers to use crypto holdings as backing for mortgages.

Feminist Nonprofit Transformation

Lean In, the feminist nonprofit co-founded by Sheryl Sandberg, is pivoting its mission to combat the rising influence of the 'manosphere'. With new leadership, the organization aims to address the challenges posed by traditional gender roles and expand support for women's rights.

Record Wall Street Bonuses vs. Budget Shortfall

The average Wall Street bonus has climbed to nearly $250,000, an increase that, while notable, still falls short of the expectations needed to alleviate New York City's substantial budget deficit. The city's administration is grappling with a shortfall exceeding $5 billion, highlighting the delicate balance between the financial sector and municipal fiscal health.

Show notes

P.M. Edition for Mar. 26. Major U.S. indexes fell today, with the Nasdaq dropping 2.4% and closing in a correction–more than 10% below its recent high. Plus, officials suspect that Iran is behind a series of attacks on Jews across Western Europe. The Wall Street Journal’s chief European political correspondent Bojan Pancevski discusses how Iran is adopting Russia’s playbook. And Wall Street bonuses hit a record. Alex Ossola hosts.

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