Tech stocks hammered as AI spending fears and geopolitical tensions rattle investors

Los Angeles Times··Read original
4▲0 ▼0Impact / 5
Summary · why it matters

Tech stocks took another big hit Tuesday as investors sold off shares of companies powering the artificial intelligence boom. The tech-heavy Nasdaq composite dropped roughly 2%, while the S&P 500 fell more than 1%. Shares of major California tech companies including Nvidia, Qualcomm, Intel, and Marvell Technology all declined, and Micron Technology plunged more than 13% ahead of its third-quarter earnings report. Anxiety spilled over from Asia, where South Korean memory chip makers SK Hynix and Samsung Electronics saw their stocks drop more than 12%. Analysts pointed to sky-high valuations, geopolitical tensions, and questions about whether massive AI spending will pay off, with Wedbush Securities analyst Dan Ives calling it a "gut-check moment."

Impact on assets 10

Artificial Intelligence▲ · 5 stocks
Semiconductors▲ · 4 stocks
Spatial Computing / AR/VR▲ · 1 stocks