Chip Selloff Deepens as Inflation Revives Fed Rate-Hike Fears — US Market Wrap
US stocks fell as renewed losses in semiconductor shares and stronger-than-expected inflation strengthened expectations that the Federal Reserve may continue raising interest rates. The S&P 500 ended its longest stretch without a 1% decline in more than six years, while the Nasdaq 100 dropped 2%. A key index tracking major chipmakers, including Nvidia and Broadcom, has dropped 20% from its June high as investors grow increasingly concerned about rising interest rates, stretched valuations and the enormous expense of developing AI infrastructure. Meanwhile, CoreWeave bonds slid to distressed levels, prompting the company’s chief to describe market sentiment as “irrational.” Apple is preparing to launch its artificial intelligence platform in mainland China following a lengthy regulatory delay that has kept its AI features out of one of its most important markets.
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US stocks fell as renewed losses in semiconductor shares and stronger-than-expected inflation strengthened expectations that the Federal Reserve may continue raising interest rates. The S&P 500 ended its longest stretch without a 1% decline in more than six years, while the Nasdaq 100 dropped 2%. A key index tracking major chipmakers, including Nvidia and Broadcom, has dropped 20% from its June high as investors grow increasingly concerned about rising interest rates, stretched valuations and the enormous expense of developing AI infrastructure.
” Apple is preparing to launch its artificial intelligence platform in mainland China following a lengthy regulatory delay that has kept its AI features out of one of its most important markets.