Sorry, Investors, You Can’t Buy the Dip Anymore

Maybe Cathie Wood was right to keep buying unprofitable speculative technology stocks for her ARK Investment Management ETFs as the prices plunged: Last week, ARK’s main fund recorded its best four-day streak since its launch in 2014, leaping more than 25%.

The outsize gain wasn’t thanks to Ms. Wood’s investment acumen, since ARK Innovation remains down almost a third this year alone. But it is indicative of two interconnected issues that matter hugely to investors: rising interest rates and whether to buy the dip.