US Edition‘Continuation of Concern’: AI-Fuelled Sell-Off Wipes US$1t From Big Tech
Concerns over costly AI investments and weak economic signals led to a nearly $1 trillion drop in major US tech stocks, including the Magnificent Seven, this week.
- Wall Street's top tech companies lost nearly $1 trillion this week, with the Magnificent Seven suffering combined losses up to $953.7b amid AI valuation concerns.
- Rising doubts have focused on AI infrastructure investments due to high operating costs and Microsoft spending nearly $35 billion last quarter, fueling investor and Wall Street analyst skepticism.
- A single-stock slump showed Nvidia, which became a $5t company last month, slid 2.3% in early New York trading, with Bloomberg noting an 8.6% decline over eight days that erased about $350 billion.
- The Nasdaq slid, which pushed the index toward its largest weekly drop since Donald Trump's April tariff onslaught and saw tech-led job cuts worsen last month with Amazon shedding 14,000 roles.
- The Financial Times and surveys suggest Sweetgreen sold its robotics division to Wonder as its stock was wiped out last year, while the University of Michigan consumer sentiment survey shows record lows this month amid the federal government shutdown.
11 Articles
11 Articles
Tech bloodbath: Over $1 trillion erased from US giants as AI-fueled selloff rocks markets
Tech stocks linked to artificial intelligence are falling fast as fears grow that the AI boom may be a bubble. Big companies like Nvidia, Microsoft, and Tesla saw sharp losses this week. Experts say investors are losing confidence as many AI projects are not making profits. The market faces big uncertainty ahead.
Dan Ives Says Tech Stocks Will 'Rip Higher' Through Year-End Amid Growing AI Valuation Concerns: 'Bull Market Has 2 More Years Of Runway'
Wedbush's Global Head of Tech Research, Dan Ives, on Friday stated that tech stocks will rally into the year-end even as AI valuation concerns grip markets. Tech Bull Market Ives stated that the current tech bull market could persist for another two years, identifying the AI Revolution and related…
AI Euphoria Fades: Inside the $1 Trillion Tech Stock Meltdown
In a stunning reversal, more than $1 trillion has been erased from the market value of U.S. tech giants amid growing skepticism over artificial intelligence valuations. The Nasdaq Composite suffered its worst week since April, dropping 3% as investors questioned the sustainability of the AI boom, according to data from CNBC (link). This sell-off, which wiped out gains equivalent to the GDP of some small nations, highlights a shift in market sent…
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