Investors pull back from AI stocks as tech losses mount
Chipmakers and tech firms across global markets have dropped sharply over worries about heavy AI spending, persistent inflation and rising borrowing. Money is moving into government bonds.
By Standard Topic. AI-generated from the reporting listed under Coverage. Published . Updated .
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What happened
Shares linked to artificial intelligence have sold off across global markets, with memory-chip makers and Samsung and SoftBank among the hardest hit, amid fears about inflation, possible interest rate hikes and AI debt.
Why it matters
If AI spending and tech stocks show signs of sustained decline, U.S. economic growth could be at risk. Analysts warn that AI debt strain could also spill into other markets.
Timeline
- Oct 15, 4:30 AM ET: An accelerating sell-off in AI-linked shares begins to hit global markets as investors search for outside financing for AI build-outs.
- Oct 15, 11:38 AM ET: Signs of strain appear in the stock market, and reports warn that a sustained fall in AI spending and tech stocks could put U.S. growth at risk.
- Oct 15, 2:43 PM ET: Treasuries rally as investors seek shelter from volatile trading in global chip stocks.
- Oct 16, 12:54 AM ET: Decisions by Australian groups Firmus and AirTrunk add to concerns over AI borrowing, following a data centre IPO debacle.
Coverage
- Billionaires Are Selling These 6 Artificial Intelligence (AI) Stocks. Should You Follow? (fool.com)
- There's a 35% Chance That the Fed Hikes Rates at Least 4 Times by September 2027, Which Can Decimate the AI-Driven Bull Market (The Globe and Mail)
- The data centre IPO debacle that sparked a market meltdown (Financial Times)
- Wall Street’s AI wobbles (Financial Times)
- The AI boom stumbles (Financial Times)
- How to weather the current AI stock storm that we were all dreading (CNBC)
- Risk of an AI crunch for stock markets is rising (Financial Times)
- What's behind the sell-off in AI neocloud stocks like CoreWeave and Nebius (CNBC)
- Investors are dumping AI stocks as ‘tech wreck’ worsens. Here’s where they’re turning now. (marketwatch.com)
- As AI stocks plunge, Apple is riding high (Yahoo News)
- Data centre and cloud shares slide amid AI gloom (itpro.com)
- Inflation anxiety drags on AI stocks for a second day as markets point to a mixed open (Boston Herald)
- Bloom Energy Is an AI Power Supply Bottleneck Bellwether. Why the Stock Is Falling. (barrons.com)
- Memory stocks are getting hammered. China and a 2029 oversupply are the big worries (CNBC)
- Tech Stocks Plunge as Doubts Over A.I. Spending Intensify (The New York Times)
- Tech market sell-off deepens amid fears over US inflation and AI debt (The Guardian)
- Nasdaq futures dive 1% as AI rout deepens on debt concerns (Yahoo News)
- Stock futures rally as AI stocks recover from tech rout
- Investors sell off AI stocks over mounting debt fears
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