Tech Stocks Plummet, AI Valuations, Job Market Data, and Supreme Court Rulings Impact Market

Tech stocks plummeted on November sixth, dragging the broader market down with them. The Nasdaq Composite, heavily influenced by tech companies, dropped by nearly two percent. The S&P five hundred and Dow Jones Industrial Average also experienced losses, with the latter shedding around four hundred points. This downturn was primarily driven by concerns over AI valuations and disappointing job market data.Job market data was particularly bearish, leading investors to shift funds into bonds and causing the benchmark ten-year yield to dip below four point one percent. The tech sector faced additional challenges, with chipmaker Qualcomms stock sliding over four percent despite strong earnings and upbeat guidance. Other major chip giants like Nvidia and AMD also saw their shares decline following comments from David Sacks, a former Trump administration official, who ruled out a federal bailout for the AI industry.Investors also closely monitored Teslas shareholder meeting, where a vote on Elon Musks proposed multi-billion dollar pay package was the main event. Tesla shares fell three point five percent on Thursday amid concerns that Musk might step down as CEO if the plan was rejected. The market also noted skepticism from several Supreme Court justices regarding the legality of former President Trump’s trade tariffs, adding another layer of uncertainty to the economic outlook.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.