As the “female Buffett” Cathy Wood's heavy holdings fell across the board in early trading on Tuesday, a new term — “Cathie Wood sell-off” (Cathie Wood sell-off) — appeared on the market.

At the opening of trading on Tuesday, the heavy-held stock of Wood's Ark Investments was the stock with the biggest decline in the market. Palantir,Tesla, Roku, Square, Paypal, Teladoc,BaiduThe stock prices of Zillow, Shopify, and Spotify have all dropped sharply. These are all key stocks invested in by Wood's flagship fund Ark Innovation ETF (AARK) and Ark Next Generation Internet ETF (ARKW).

Shortly after opening, the Ark Innovation ETF once plummeted 11.8%. By 10 a.m. EST, that is, half an hour after the opening of the US stock market, the stock's trading volume had already exceeded 8 million shares, which is equivalent to the trading volume of a weekday. By noon, the stock's turnover had reached 30 million shares.

Then, half an hour after opening, the sale stopped. The fund closed down 3.3%, with a cumulative decline of about 10% this week.

Alec Young, chief investment officer of Tactical Alpha, said: “It was like a small panic attack. Markets are increasingly worried about the risk of the Fed falling behind the inflation curve. Market prices reflect more inflation, which means technology stocks will be cheaper.”

With the publication of Federal Reserve Chairman Jay Powell's congressional testimony, the market stopped falling. Powell has repeatedly stressed that he does not expect inflation to rise to unsettling levels. “Monetary policy is loose and needs to continue to be relaxed,” he said.

Peter Tchir, head of macro strategy at Academy Securities, said, “I don't think this is over yet; I think this may be the beginning of a break-up. Everyone thinks these are super safe companies. Her management style has always been to double her stakes, which is starting to feel a bit like the gospel. People now think these funds won't lose money, and that's the problem.”