Chip Selloff Hits Nasdaq 100, Down 1.6% as AI Valuation and Geopolitical Fears Deepen
Updated
Updated · Bloomberg · Jul 16
Chip Selloff Hits Nasdaq 100, Down 1.6% as AI Valuation and Geopolitical Fears Deepen
3 articles · Updated · Bloomberg · Jul 16
Summary
A key gauge of chip giants slumped 4.3%, extending the tech-led retreat and dragging the Nasdaq 100 down 1.6%.
Taiwan Semiconductor's solid outlook failed to reassure investors after it raised spending plans, reinforcing worries that huge AI outlays may not justify stretched valuations.
Alphabet fell 4.4% after Google was reported to be months behind on its flagship AI model, adding to pressure on AI-linked shares already hit in the prior session.
Netflix also dropped in late trading after forecasting a second straight quarter of slowing sales growth, while renewed geopolitical risks further darkened market sentiment.