US Tech Stocks See Sharp Falls over AI Cost Fears
Intel and Amazon led losses as investors questioned whether rising AI spending will pay off after weak earnings and user data hit major tech stocks.
- Intel Shares fell 30% after the chip maker warned of a weaker computer market, while Amazon Shares dropped 6% following earnings that missed expectations on Thursday evening.
- Shares continued sliding as concerns intensified over rising costs of AI-driven build-outs, with Alphabet plunging more than $500bn after revealing AI-driven summaries negatively impacted its core search advertising revenue.
- Reddit Stock fell 26% and Roblox Stock dropped nearly 20% amid user concerns, as Chris Low from FHN Financial told Reuters the companies were "showing some pretty significant growing pains as they aggressively pursue the AI build-out."
- The Nasdaq opened at its lowest level in more than two months, down 2.5%, while Intel finance chief David Zinsner forecast lower-than-expected fourth-quarter revenue and equipment investment would be "even more significant" in coming months.
- Intel warned the PC slowdown will continue through the first half of next year, and analysts told Reuters "the thinking is that these signs suggest that the entire sector is going to slow down.
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The technology-heavy Nasdaq index falls 2.2 percent shortly after the stock market opens in the US.
US tech stocks see sharp falls over AI cost fears
نُشر هذا المقال أولاً عبر Cedarnews.net. لمتابعة المزيد من الأخبار والتقارير الحصرية، زورونا على موقعنا. US tech stocks see sharp falls over AI cost fears. US tech stocks: Shares in Intel continue to fall while the tech-heavy Nasdaq opens at its lowest level in. تم نشر هذا الخبر عبر موقع Cedarnews الإخباري. للاطلاع على مزيد من الأخبار العاجلة والتقارير الحصرية، زوروا موقعنا الرسمي.
The three major U.S. stock indices opened lower on the 30th (local time), driven by selling pressure following earnings announcements from tech stocks such as Amazon and Intel. On the New York Stock Exchange (NYSE), the Dow Jones 30 Industrial Average opened at 52,383.90, up 41.3 points (0.08%) from the previous close. However, the Standard & Poor's (S&P) 500 index fell 89.3 points (1.16%) to 7,631.07.
Intel shares continue to slide as the tech-heavy Nasdaq opens at its lower level in more than two months.
The New York Stock Exchange opened mixed on the last trading day of the week, overshadowed by selling pressure in technology stocks. At the open, the Dow Jones rose 0.08%, while the S&P 500 fell 1.16% and the Nasdaq dropped 2.26%; Amazon shares lost nearly 5% of their value.
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