AMD Stock Slumps as AI Chip Trade Meets a Jobs-Report Shock
Advanced Micro Devices shares fell sharply on Friday, caught in a broad chip-stock retreat after a stronger-than-expected U.S. jobs report raised doubts about the staying power of this year’s AI-led rally. AMD recently traded at $474.34, down $48.86 from the previous close, after opening at $500 and touching an intraday low of $470.79. Volume topped 25 million shares. The selloff matters because AMD has become one of Wall Street’s main bets on the AI trade — the wager that companies selling chips and related hardware for artificial intelligence will keep posting rapid growth. Reuters reported that the Nasdaq Composite was down 2.37% late Friday morning, while the Philadelphia semiconductor index, a benchmark for chip shares, shed 5%. Nvidia lost 2.5% in that same snapshot.