Tech Stocks Wipe Out Over $700 Billion As Traders Flee AI Hype

Tech stocks erased more than $700 billion in market value Thursday as rising skepticism over Fed rate cuts and looming energy bottlenecks in the AI sector triggered a sharp flight from risk.

The Nasdaq 100, as tracked by the Invesco QQQ Trust (NASDAQ:QQQ), fell 2.2% by late afternoon Thursday in its steepest drop since Oct. 10.

Nvidia Corp. (NASDAQ:NVDA) led the selloff, plunging 4.3% and losing a staggering $200 billion in market value. Other members of the so-called Magnificent Seven also took heavy hits: Tesla Inc. (NASDAQ:TSLA) tumbled 6.7%, Alphabet Inc. (NASDAQ:GOOGL) lost 2.5%, with both shaving off $100 billion in combined market cap.

Broadcom Inc. (NASDAQ:AVGO) dropped 7%, erasing $90 billion, while Amazon.com Inc. (NASDAQ:AMZN) and Microsoft Corp. (NYSE:MSFT) each shed around $70 billion.

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Tech Stocks Wipe Out Over $700 Billion As Traders Flee AI Hype

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