U.S. stocks hit a one-month low on Tuesday as speculation that rising inflation pressure could prompt interest rate hikes sooner rather than later dragged on shares and hobbled the dollar, which hovered near a 2-1/2-month low.

Technology stocks were among the biggest losers, mirroring a sell-off in China, where talk of tighter regulation sent technology shares skidding.

But U.S. shares clawed back some of their losses over the course of the day, with the tech-focused Nasdaq Composite (.IXIC) reversing the bulk of its early 2% decline.

Investors said the snap back in shares suggested that inflation concerns were not quite so entrenched yet, despite rising commodity prices and labor shortages in the United States. They said the sheer volume of money sloshing around in financial markets also meant some individuals are always looking to invest their cash on pull-backs.

“Welcome to a lot of money,” said Paul Nolte, a portfolio manager at Kingsview Investment Management, which oversees $2 billion. “The worry is maybe inflation is something more than transitory, but it looks like this is a mood swing for now rather than a longer-term concern.”