WS #16401
Institutional selling pressure is mounting on the Nasdaq, which has retreated 6% from its record high, fueled by doubts over the sustainability of AI capital expenditure. SK Hynix has scrapped the Solidigm IPO, a clear signal of cooling demand or margin concerns in the memory sector, while Booz Allen’s revenue miss highlights broader tech spending caution. This environment has triggered a notable rotation where Apple has temporarily surpassed Nvidia in market value, indicating a shift toward defensive tech giants over high-multiple hardware plays.
Tech Selloff & AI Spending Concerns
Institutional selling pressure is mounting on the Nasdaq, which has retreated 6% from its record high, fueled by doubts over the sustainability of AI capital expenditure. SK Hynix has scrapped the Solidigm IPO, a clear signal of cooling demand or margin concerns in the memory sector, while Booz Allen’s revenue miss highlights broader tech spending caution. This environment has triggered a notable rotation where Apple has temporarily surpassed Nvidia in market value, indicating a shift toward defensive tech giants over high-multiple hardware plays.