QQQ ETF Faces Volatility Amid US-China Trade Tensions

The Invesco QQQ ETF, tracking the Nasdaq 100 Index, dropped 3.5% on Friday following heightened US-China trade tensions. President Trump's threats of increased tariffs on Chinese imports and accusations of hostility over rare earth metals restrictions rattled tech-heavy portfolios. The ETF had already declined 2.92% over the previous five trading sessions.

Markets showed tentative recovery signs as TRUMP later softened his stance, promising trade relations would "all be fine." This translated to a 1.8% pre-market rebound by Monday morning. Year-to-date gains stand at 15.8%, demonstrating the ETF's resilience despite recent turbulence.

Analysts maintain a Moderate Buy rating for QQQ, with a $674.70 average price target suggesting 14.45% upside potential. Key holdings with highest projected returns include MicroStrategy (MSTR), Atlassian (TEAM), and Intuitive Surgical (ISRG). The ETF's performance remains a critical bellwether for big tech's ability to weather geopolitical storms.