WS #16951
The Nasdaq 100 has dropped over 5%, entering correction territory, driven by a coordinated selloff in semiconductor and AI infrastructure stocks. AMD fell 15% and Qualcomm 14% as the market repriced the AI buildout trade following midterm election results that suggest bipartisan regulatory hurdles for energy-intensive data centers. With Texas holding 27% of planned US capacity, the political risk premium on AI capex has spiked, causing a sector-wide liquidation that has erased post-election gains.
AI Infrastructure Selloff
The Nasdaq 100 has dropped over 5%, entering correction territory, driven by a coordinated selloff in semiconductor and AI infrastructure stocks. AMD fell 15% and Qualcomm 14% as the market repriced the AI buildout trade following midterm election results that suggest bipartisan regulatory hurdles for energy-intensive data centers. With Texas holding 27% of planned US capacity, the political risk premium on AI capex has spiked, causing a sector-wide liquidation that has erased post-election gains.