US EditionNasdaq suffers worst week since April as AI rally wobbles
Leading AI stocks including Nvidia, AMD, and Palantir lost hundreds of billions in market value amid fears of an AI bubble and overvalued earnings multiples, analysts said.
- On Friday, the tech-heavy Nasdaq Composite fell 1.6% and is on track for its worst week since early April, driving broader U.S. stock market losses.
- Amid mounting concern about overheated valuations, investors pulled back due to warnings from Wall Street chiefs at Goldman Sachs and Morgan Stanley, slipping University of Michigan consumer sentiment, and the lingering U.S. government shutdown.
- Nvidia Corp. and other AI leaders posted steep weekly drops, with Nvidia sliding more than 10%, Advanced Micro Devices losing nearly 12%, and Palantir Technologies, Inc. dropping nearly 15%, erasing hundreds of billions in combined market-cap losses.
- Market fear gauges spiked, with the CBOE Volatility Index jumping 16%, the S&P 500 falling to around 6,670 and the blue-chip Dow down 300 points, or 0.65%.
- Analysts say the pullback could be a healthy recalibration as long-term fundamentals remain intact, and the cooling in AI gains helps keep Federal Reserve rate-cut plans viable for December and early 2026, with fund flows supportive despite the slide.
22 Articles
22 Articles
Why AMD Stock Is Sinking Again Today
Key PointsAMD stock is tumbling again Friday as investors adopt more cautious positioning on AI stocks. AMD's share price is also falling in response to a report showing that U.S. consumer confidence has weakened. 10 stocks we like better than Advanced Micro Devices › Advanced Micro Devices (NASDAQ: AMD) stock is losing ground in Friday's trading. The company's share price had fallen 4.2% as of 2 p.m. ET. At the same point in the day's trading, …
The U.S. stock market failed in its attempt to rebound this Friday, resuming the massive sales driven by the technology sector. Investors are weighing the signs about the labor market and the big question: will investment in Artificial Intelligence (IA) really pay off?The Nasdaq Composite (^IXIC) technology index led the losses, dropping about 0.7% minutes after the opening. The S&P 500 (^GSPC) slipped 0.5%, while the Dow Jones Industrial Averag…
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