Markets can reverse without warning, specially a bull market well into its ninth year. Keep in mind that this was a market deemed “overvalued” and “expensive” and money kept flowing into blue-chips stocks, which isn’t a very good idea because you are buying at the top. Tech in particular was a crowded trade and that meant more volatility. Just take a look at the notorious FAANG stocks (Facebook, Amazon, Apple, Netflix, Google). There were very few bargains out there, so traders chased what was popular at a time when risk had increased substantially.
The hope for many is to turn this reversal into another buying opportunity. But there are no guarantees that this market will cooperate. This is a market wide reversal and both growth stocks and value stocks are getting hit. If you own stocks there’s no reason to sell, but I wouldn’t be buying either. At least not yet.