US Stocks Plummet Amid AI Tech Glitch, Fears of Interest Rate Halt. The US stock market took a hit on Thursday as top performers like Nvidia continue to swing wildly, dragging the overall market down with them.
The S&P 500 index fell by 0.6% in morning trading, while the Dow Jones Industrial Average dipped 106 points, or 0.2%. Meanwhile, the Nasdaq composite slipped 1.1%, making it three consecutive days of losses for the tech-heavy index.
Nvidia's decline was particularly significant, falling 2.7% and taking some of its AI peers with it. Palantir Technologies dropped 3.4%, while Super Micro Computer saw a staggering 4.2% slide. The question on everyone's mind now is whether these superstars can sustain their incredible gains.
The US market has been buoyed in recent months by the meteoric rise of AI stocks, which have drawn comparisons to the 2000 dot-com bubble that ultimately crashed and burned. However, as these stocks continue to balloon, investors are starting to feel uneasy.
Wall Street is bracing itself for more economic data, which could influence interest rates. A pullback in rate cuts could boost inflation and hurt the stock market. In fact, traders have already begun reducing their bets on a Fed rate cut at its next meeting in December.
As the data deluge approaches, volatility is expected to spike. The yield on the 10-year Treasury rose to 4.10%, putting pressure on stocks and other investments.
The day wasn't all bad news, however. Cisco Technology jumped 4.3% after reporting stronger-than-expected earnings and revenue. Meanwhile, Disney fell 8.2% despite beating profit expectations with its latest quarter's numbers.
In the global markets, indexes were mixed in Europe following a modest gain in Asia. Japan's Nikkei 225 index rose 0.4%, despite SoftBank Group losing another 3.4%. The tech giant has been struggling since selling its Nvidia investments.
As the US government gets back to releasing economic data after a six-week shutdown, investors are on high alert. With so much uncertainty surrounding interest rates and inflation, it's anyone's guess how the market will react next week.
The S&P 500 index fell by 0.6% in morning trading, while the Dow Jones Industrial Average dipped 106 points, or 0.2%. Meanwhile, the Nasdaq composite slipped 1.1%, making it three consecutive days of losses for the tech-heavy index.
Nvidia's decline was particularly significant, falling 2.7% and taking some of its AI peers with it. Palantir Technologies dropped 3.4%, while Super Micro Computer saw a staggering 4.2% slide. The question on everyone's mind now is whether these superstars can sustain their incredible gains.
The US market has been buoyed in recent months by the meteoric rise of AI stocks, which have drawn comparisons to the 2000 dot-com bubble that ultimately crashed and burned. However, as these stocks continue to balloon, investors are starting to feel uneasy.
Wall Street is bracing itself for more economic data, which could influence interest rates. A pullback in rate cuts could boost inflation and hurt the stock market. In fact, traders have already begun reducing their bets on a Fed rate cut at its next meeting in December.
As the data deluge approaches, volatility is expected to spike. The yield on the 10-year Treasury rose to 4.10%, putting pressure on stocks and other investments.
The day wasn't all bad news, however. Cisco Technology jumped 4.3% after reporting stronger-than-expected earnings and revenue. Meanwhile, Disney fell 8.2% despite beating profit expectations with its latest quarter's numbers.
In the global markets, indexes were mixed in Europe following a modest gain in Asia. Japan's Nikkei 225 index rose 0.4%, despite SoftBank Group losing another 3.4%. The tech giant has been struggling since selling its Nvidia investments.
As the US government gets back to releasing economic data after a six-week shutdown, investors are on high alert. With so much uncertainty surrounding interest rates and inflation, it's anyone's guess how the market will react next week.
and a correction is long overdue 
. It's crazy to think about how quickly they've risen, reminds me of that whole dot-com bubble thingy from 2000... but like, can we really compare? 
The Fed is gonna keep cutting rates, it's for sure! 
But on the other hand, if inflation starts to rise again, that could totally tank the market 
. Ugh, I'm so confused 
about what's gonna happen next...
. Nvidia's decline is a big deal, and Palantir dropping 3.4%? That's like losing your favorite video game 
. But at the same time, Cisco Technology just jumped 4.3%! That's like finding out you won a surprise prize 
.
. The market is already on edge, and with all this economic data coming in, I think we're due for another wild ride 
.
, can't these AI tech companies just get their acts together? One day they're soaring, the next they're plummeting like a shot to space 
. Nvidia's decline is making me want to pull my money out of all tech stocks... but at the same time, I'm kinda curious about Palantir Tech and Super Micro Comp - what's going on with those guys? 
The 10-year Treasury yield is already at 4.10%... that's crazy talk! 
. But overall, this market volatility is giving me anxiety 
. Just hope it all settles down before the next economic data dump 
.
... those Nvidia stocks were on fire 
but now they're getting roasted 
? I'm curious to see how this all plays out 
... I feel like we're setting ourselves up for a market correction big time 
. Like, one day they're up a million percent and the next they're tanking. It's like they're living on borrowed time 
. I think we need to take a step back and evaluate what's really happening in this space 
. The whole thing is just so... unpredictable 
. But hey, at least Cisco Tech is doing well 
! Can't win 'em all, right? 
Can't believe the AI stocks are tanking like that! 
And what about all the other tech stocks? Are they gonna follow suit too? 
The market is already so volatile, I don't know if I can take it anymore!