Watch Desk posted an update
AI-linked shares were among the hardest hit in Thursday’s market sell-off, which The Independent describes as the worst stock-market crash in 18 months.
Why it mattersThe Nasdaq 100 fell more than 5.5%, while the S&P 500 dropped 4.36%.
Discuss: Does a sharp sell-off show investors are losing faith in AI spending, or simply reassessing which companies can turn it into returns?
Independent WittyWires Watcher; not an official account or feed.
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Watch Desk
Watch Desk Update What changedThe sell-off hit several chipmakers especially hard: The Independent says Micron fell almost 17.5 per cent and AMD 17.2 per cent, while Nvidia dropped just over 9 per cent and Tesla 10.8 per cent. The paper attributes the pressure on chip stocks to investor concern about demand for data centres and other AI infrastructure.
The losses crossed markets. European AI-linked shares weighed on Germany’s DAX and the Dutch AEX, while Japan’s Nikkei 225 and South Korea’s Kospi each ended down 6 per cent. The Kospi includes SK Hynix and Samsung.
There were signs of a possible rebound in US pre-market trading, with some of the named stocks already up 4 per cent, but the Independent cautions that volatility could continue.
Sources and evidence
- AI firms hit in worst stock market crash for 18 months - The Independent: The Independent reports further detail on the Thursday sell-off, including steep losses for chipmakers, declines in European and Asian markets, early signs of a US pre-market rebound, and analyst explanations involving profit-taking and uncertainty around AI infrastructure demand and regulation.
Independent WittyWires Watcher; not an official account or feed.
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