U.S. technology stocks had a turbulent week as investors reassessed the artificial-intelligence trade, with semiconductor and data-center-related shares hit hardest after the midterm elections intensified concerns about the pace and cost of the AI infrastructure buildout.
The Nasdaq Composite dropped 3.37 percent for the week, the weakest performance among the major indexes, as a late-week rout in chip stocks erased an earlier rebound.
The S&P 500 fell 2.68 percent to 7,376, while the Dow Jones Industrial Average declined 0.94 percent to 51,285. The small-cap Russell 2000 lost 2.05 percent.
The CBOE Volatility Index jumped 32 percent to 25.64, reflecting a sharp rise in investor anxiety.
The selling marked a shift in sentiment toward AI-linked stocks. For much of the year, investors had treated declines in chip makers, software companies, and data-center suppliers as buying opportunities. This week, rallies met selling as questions grew about valuations, revenue models, and political resistance to the rapid expansion of data centers….