Tech Stocks Lose $1 Trillion as Brent Oil Tops $110 and Rate Fears Return

3 articles · Updated · NBC News · Oct 16

$1 trillion in market value evaporated from tech shares Friday as the Nasdaq 100 fell 2.5%, leaving it about 7% below the record high it set last week.
Brent crude climbed above $110 a barrel and settled at $109.86, while U.S. crude closed at $101.41—its first finish above $100 since September—reviving fears of another Fed rate hike after September's 0.25% increase.
The sell-off hit AI and chip names hardest: the Philadelphia semiconductor index dropped 3.8% for an eighth straight loss, and data-center companies Nebius and CoreWeave led Nasdaq 100 declines.
Diesel prices remain a key inflation threat after Strait of Hormuz disruptions and attacks on Russian refining capacity tightened supply, with U.S. and European refineries already near maximum output.
That energy shock is colliding with investor doubts about debt-heavy AI expansion, as companies borrow heavily for data centers and analysts cut outlooks on concern higher rates will squeeze returns.