Worried Traders Make Dash for Stock Liquidity as Selloff Worsens

  • Surging ETF volume viewed as a sign of growing investor panic
  • ETF trading spiked Friday, with QQQ turnover reaching record
A worker vacuums up confetti after the opening bell at the Nasdaq MarketSite in New York.Photographer: Michael Nagle/Bloomberg
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Traders are pouncing on the most liquid instruments in the investing world to navigate the equity market turmoil spurred by the Federal Reserve’s newfound hawkish resolve.

With the S&P 500 extending its selloff from a recent record to more than 10%, trading is spiking across exchange-traded funds from leveraged strategies tracking technology shares to those betting on market volatility.