Nasdaq takes a hit as AI stock hype cools down

Business Nov 18, 2025

The Nasdaq dropped about 4.3% this month, with back-to-back losses erasing its earlier rally.
Investors are suddenly wary of just how much AI stocks are really worth.

Why does this matter?

AI-focused companies lost over $800 billion in value in just one week, as people started shifting money from buzzy tech to more traditional sectors.
Big names like NVIDIA and AMD saw sharp drops, reminding everyone of the dot-com bubble days and sparking fresh doubts about whether AI profits can keep up with the hype.

What's behind the sell-off?

Weak job market reports and fears that AI stocks might be overpriced pushed investors to cash out.
This shakeup is making people rethink how much risk they want from high-growth tech right now.