Nasdaq plunges into correction territory as midterm results raise fresh questions about AI boom
Investors sold AI-linked shares as fears grew that Democratic victories could slow data center construction and cut expected returns on spending.
- The Nasdaq Composite fell nearly 5% Thursday and was approaching correction territory.
- Democratic victories in the U.S. midterm elections raised concerns that governments could pause new data-center construction, reducing future demand for AI chips.
- AI-Related stocks, including Nvidia, Advanced Micro Devices, and CoreWeave, suffered steep losses.
- AppLovin and Tapestry gained after reporting stronger-than-expected results.
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671 Articles
Nasdaq fell by 6.4% in the middle of the session this Thursday. How to explain it? Quarterly figures for the technology sector have remained good, but do not...
The latest tech crash has seriously shaken the euphoria surrounding artificial intelligence for the first time. At the same time, the large corporations continue to invest in billions of euros. Now it becomes clear who can carry this bet – and in which shares the risks are growing dangerously.
The Nasdaq technology index on Wall Street has partially recovered from yesterday's heavy losses. Investors took advantage of the lower share prices to buy shares again, particularly of chip companies. These had been punished severely out of fear that a Democratic majority in the US Congress could lead to stricter regulations for artificial intelligence and delays in the construction of AI data centers.
New York Stock Exchange is recovering from Thursday's losses. European indices are under pressure. The situation is quite fragile, says chief economist of Moody's Analytics
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