Nasdaq slips 0.64% amid AI budget concerns after Alphabet announcement
Business
The Nasdaq dropped 0.64% on Friday, with investors uneasy about big spending on AI projects, especially after Alphabet announced a major jump in its AI budget.
Peter Andersen from Andersen Capital Management noted that people are starting to wonder if all this investment will actually pay off.
Meanwhile, the S&P 500 and the Dow managed to stay in positive territory, showing some resilience even as the Nasdaq logged its second straight weekly loss.
Intel down 7.9% chipmakers slide 4.5%
Tech stocks struggled: Intel fell 7.9%, and chipmakers overall slid by 4.5%.
On the flip side, real estate and materials were standouts: Digital Realty Trust rallied 11%, and International Paper jumped over 11%.
Oil prices dipped 3%, but ongoing tensions in the Middle East kept markets on edge.