$NASDAQ(.IXIC)$ fell sharply by 2% yesterday, with tech stocks taking the hardest hit and AI-related names facing a bloodbath. $Alphabet(GOOG)$ , $Microsoft(MSFT)$ , and $Meta Platforms, Inc.(META)$ all dropped over 1%, while storage and semiconductor sectors saw almost across-the-board declines. $Oracle(ORCL)$, after plunging 10% the previous day, fell another 4% as the market worries that its data center projects for OpenAI may be delayed until 2028. $Broadcom(AVGO)$ earnings beat expectations, but executive remarks on weak profit
Tech Meltdown Friday: Bounce Next Week or More Pain Ahead?
U.S. tech stocks plunged, with AI-related names seeing a broad sell-off as capital rotated into defensive sectors. Weakness in the S&P 500 and Nasdaq was largely driven by a sharp drop in Broadcom, whose shares tumbled 11.4% on the day. Despite beating earnings expectations, investors were disappointed by lower-than-expected AI margins and the lack of AI guidance for fiscal 2026, weighing heavily on the stock. After Friday’s sell-off, will the market stage a strong rebound next week — or continue to slide?
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