Nasdaq Drops 2.6% in Biggest Fall Since June as AI Capex Fears Hit Tech; Oil Jumps on Iran Strike Reports
IXIC sits 26% above its 52-week low of $20,690.249.
Summary
The Nasdaq fell 2.6%, its largest single-day decline since June 23, while the S&P 500 lost 1.2% and the Dow edged up about 10 points. The trigger was a broad tech selloff over AI capital spending and financing risk: Meta dropped 8% even after beating Q3 revenue expectations and giving optimistic guidance, because its AI capex plans alarmed investors. AMD fell more than 8%, Micron 6% and Nvidia 4%, and CoreWeave plunged over 10% as its bond yields and credit default swaps stayed elevated. Nvidia CEO Jensen Huang said demand from new cloud providers is 'incredibly hot' but capital shortages are constraining growth — Wells Fargo traders said that remark unsettled the market and revived credit-risk worries. Separately, reports that the US and Israel plan another strike on Iran after next month's midterms pushed Brent up 4% to $113.17 and WTI up 2.39% to $99.47, while the 10-year Treasury yield fell more than 18 basis points to 4.965%. This extends the pattern from September, when Middle East escalation and oil above $100 repeatedly pressured the index. Watch the midterm elections next month as the stated timing for any Iran action, and the AI financing debate around upcoming cloud and chip earnings.
At the time of this announcement, IXIC was trading at $26,008.86 on NASDAQ in the Technology sector. The 52-week trading range was $20,690.25 to $27,722.75. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Binance News.