Nvidia selloff deepens, adding to AI jitters

Résumé détaillé

NEW YORK, Nov 10 : Technology shares were in the red again on Tuesday, with Anthropic's steps toward a big IPO failing to calm general anxiety about the health of the AI sector.

Selling was driven by a hot US inflation report that increased expectations the Federal Reserve will raise rates again next month, alongside Nvidia's hiring lawyers for an internal investigation tied to its CEO and the development of an Ohio data center getting more complicated.

Many investors remained optimistic about the prospects for AI investments while allowing that volatility has become a fact of market life this fall. The Nasdaq Composite was off 1 per cent on Tuesday afternoon. Over the past month, the index has dropped by 1 per cent or more eight times and risen by 1 per cent or more six times.

"There is concern about what happens at the top at Nvidia, and if he's replaced, who's he replaced with," said Tim Ghriskey, senior portfolio strategist at Ingalls & Snyder in New York, who said he sees selling in Nvidia and other major AI firms as buying opportunities. "But I don’t see Nvidia falling apart. I see a very strong company hit by something not of its own making."

Besides Nvidia, down 6.5 per cent, the major decliners were mostly big beneficiaries of the AI rally that swept markets for the first two-thirds of this year. Server maker Dell Technologies was down 4.8 per cent on Tuesday but up 161 per cent for the year, according to LSEG data, while chip firm Sandisk was down 4.5 per cent for the day and up 257 per cent for the year.

Among the neoclouds, smaller AI infrastructure firms that have been under pressure this month amid concerns about their capacity to raise funds under tighter market conditions, Iren dropped 10 per cent, Nebius fell 7 per cent and CoreWeave slid 3 per cent. All three have declined by at least 40 per cent since the Nasdaq hit its most recent high on October 6. CoreWeave is due to report earnings after the close on Tuesday.

Many investors said they thought…

Shares…

Début de l'article, extrait de CNA. Pour lire la suite, ouvrez l'article chez le média.