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Nasdaq enters correction after AI stock sell-off

Sharp losses in AI and chip shares on November 5 pushed the Nasdaq into correction territory. Stocks later rebounded, with the S&P 500 recovering most of the prior week's loss in a single session.

By Standard Topic. AI-generated from the reporting listed under Coverage. Published . Updated .

What happened

AI and chip stocks sold off sharply on November 5, pushing the Nasdaq into a correction. Stocks then staged a rebound, with the S&P 500 recovering most of the prior week's loss in one session. Chip names such as AMD and Intel jumped as dip-buyers returned.

Why it matters

Analysts say the tech selloff matters most if it spreads into the broader economy. Some warn of a deeper bear market if demand for AI disappoints.

Timeline

  1. Nov 5: AI stock crash pushes the Nasdaq into a correction, with AI stocks falling on fears that Democrats will limit new data centers after the midterm elections.
  2. Nov 9: Stocks post their best day since April, with the S&P 500 recovering 85% of last week's loss in one session.

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