Nasdaq slides as AMD forecast and AI disruption fears hammer tech again
The S&P 500 and Nasdaq dropped Wednesday, pressured by renewed selling in software and chip shares. Advanced Micro Devices slumped following its earnings outlook. The Dow, however, nudged up as investors favored sectors viewed as more affordable or stable. The selloff hits now as the market grapples with two conflicting forces: massive AI investments and the risk that AI tools could disrupt the software companies that powered the previous cycle. This tug-of-war unfolds amid a packed earnings week.