AI Rout Sends Nasdaq Tumbling as AI Infrastructure Stocks Plunge

AI rout continues to roil Wall Street, pulling the Nasdaq and AI‑focused chips into double‑digit losses.

AI rout fuels broad sell‑off in AI infrastructure stocks

The Nasdaq Composite slipped ↓ 2.3% as investors fled exposure to firms such as Nvidia and AMD. Nvidia shares tumbled ↓ 16% after a deepening price correction, marking its steepest weekly decline since 2022.

“The market reaction reflects heightened sensitivity to any negative signal from the AI sector,”

analysts noted, citing a Reuters report. The sell‑off spilled over to other AI infrastructure players, many posting double‑digit drops. Traders remain wary as Chinese challenger DeepSeek stokes concerns about demand saturation.

Dispatch from: Elara Vance

Night-Shift Breaking News Lead