A tech sell-off shook global markets on Tuesday as attention turned away from developments in the US war with Iran and toward the future of AIcompanies and chipmakers that have driven stock markets to record highs.

The tech-heavy Nasdaq index opened 2% lower on Tuesday. The Dow and S&P 500 were also down at opening.

All three major US indices have hit record highs this year, riding off a rush of funding to support AI technology and infrastructure. Nasdaq is up 10% for the year, while the Dow jumped 6% so far this year, breaching past 51,000 points, and the S&P 500 is up 7.3%.

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[–] 50 points 4 months ago (3 children)

Is it finally happening? Do we put up the Ron Paul meme?

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  • [–] 25 points 4 months ago (2 children)

    I hope the selloff continues forever.

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  • [–] 19 points 4 months ago

    Articles like this are just exhausting. Todays dip equals a single day of gains from [pick a day this month]

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  • [–] 11 points 4 months ago* (last edited 4 months ago) (1 child)

    When do they start jumping off of buildings?

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  • [–] 9 points 4 months ago

    I’m on the nothing ever happens train. The market fluctuates. Space x was down below offering then it was up again, now it’s at like 156. The market goes down it goes up. Nothing changes.

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  • [–] 9 points 4 months ago
    [–] 9 points 4 months ago

    annnnd -- there it goes!

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  • [–] 7 points 4 months ago (2 children)

    The fact that there wasn't a bigger sell off when they banned Fable 5 is ridiculous. The stock market doesn't represent real conditions at all.

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  • [–] 5 points 4 months ago (1 child)

    Why would that trigger a sell off? It was an official US government stamp of approval that "These things are so dangerous and powerful we have to treat them as weapons." It was bullshit but it played straight into Anthropic's story.

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  • [–] 2 points 4 months ago

    In a "free market" it would be a worrying sign that the government can just tell one of the highest valued corporations "nope, we're not permitting you to do that, your entire business model is dictated by us". But we don't have a free market, and the stock market doesn't represent the reality of the situation, just like how valuations of AI companies keep going up even though something like GLM-5.2 exists. I think investors are probably just dumb, and we're in a bubble.

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  • [–] 5 points 4 months ago

    Is the AI-pocalypse finally here?

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  • [–] 14 points 4 months ago (2 children)

    Meanwhile, AAPL is more or less steady, and certainly not plummeting in formation with the hyped AI stocks. I bet their investors are feeling good about being left behind.

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  • [–] 3 points 4 months ago (1 child)

    Apples nextOss is heavy into AI. Everyone acts like they're outsmarted everyone. They failed I'm not saying it won't work out but they tried to get into AI 2 years AFO and it didn't work.

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  • [–] 3 points 4 months ago

    Some think that means they recognised the hype doesn’t match the ability. They are incorporating ai, but licenced it instead of huge capex to do their own. They can just cancel it in the future.

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  • [–] 2 points 4 months ago

    Do they prefer their market(ini) stirred, not shaken?

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  • 18 comments in c/world view that post
    [–] 29 points 4 months ago*

    This is the fascist oligarchs selling off the gains they've manufactured. They're stealing hundreds of billions from the global workforces retirement funds; soon to be trillions.

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  • [–] 20 points 4 months ago

    But some economists have warned that the influx of AI spending is a bubblereminiscent of the dot-com bubble that burst in the early 2000s. Seven tech companies make up 30% of the S&P 500’s value.

    Just “some”, huh.

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  • [–] 17 points 4 months ago (3 children)

    2% this 5% that, wake me up when its 30%

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  • [–] 17 points 4 months ago (6 children)

    Headline: "AI STOCK SELLOFF!!!"

    glances at stock chart YTD

    :-/

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  • [–] [S] 7 points 4 months ago (5 children)

    All three major US indices have hit record highs this year, riding off a rush of funding to support AI technology and infrastructure. Nasdaq is up 10% for the year, while the Dow jumped 6% so far this year, breaching past 51,000 points, and the S&P 500 is up 7.3%.

    But some economists have warned that the influx of AI spending is a bubble reminiscent of the dot-com bubble that burst in the early 2000s. Seven tech companies make up 30% of the S&P 500’s value.

    Did you not read the article?

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  • [–] 6 points 4 months ago* (4 children)

    some economists have warned

    We've been getting this warning for years. Over the same time, the value of these stocks have not diminished.

    Did you not read the article?

    It's the exact same article that gets printed twice a month going on 40 years.

    I would bet even money that it is itself AI generated, at this point.

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  • [–] [S] 3 points 4 months ago* (3 children)

    There is little evidence that a differentiating factor between an economic bubble and genuine economic growth surrounded by a halo of hype is the duration that the growth can sustain itself.

    What determines whether a bubble pops or not is not logic but rather belief, there are numerous documented instances of bubbles that were loudly talked about and systematically ignored by those in power that sustained themselves for many years before everything came crashing down.

    This isn't magic, the bubbles in reality pop much earlier and usually multiple times once the numbers don't add up, but the costs are obscured and offloaded to the environments around the bubble so that the entire collective pie diminshes but the relative power and perception of value in the bubble is retained right up until a more systematic collapse occurs.

    No this is not the same article, there is a diverse variety of reporting on the financial scam that AI embodies multidimensionally.

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  • [–] 2 points 4 months ago (2 children)

    What determines whether a bubble pops or not is not logic but rather belief

    Well... there's harder economic realities that people eventually bump into. And that shapes belief in the credit markets and the investment banks.

    For instance, Greenspan hiking interest rates from 2006 to 2008 was what put Lehman Brothers and Bear Sterns under pressure to cover an escalating interest payment. When they began to default, all their creditors panicked (justifiably) and began withholding shorter term lending. And that accelerated the collapse. But because of the network of interbank lending, Lehman tugged on the strings of Goldman, WellsFargo, BoA, JP Morgan...

    It wasn't just vibes. There was a material credit crisis resulting in Bear Sterns - specifically - not having enough money in the till to pay its credit notes. And because everyone was so highly leveraged, there was a real accountable cascade of defaults.

    In theory, bigger institutions could have backstopped the slide by offering even more generous credit terms (which is what the Federal Reserve / US Treasury ultimately did). The "vibes" part was the risk/reward analysis. Everyone could see the looming risk. Relatively few executives could conceive of the long-term consequences of a collective bank run.

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  • [–] [S] 1 point 4 months ago (1 child)

    Same thing this time but since Banks aren't allowed to be this blatantingly shady Private Credit/Equity is is playing the role of facilitator of collapse.

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  • [–] 2 points 4 months ago

    Banks aren’t allowed to be this blatantingly shady

    😆

    Private Credit/Equity is is playing the role of facilitator of collapse

    Which are just a backchannel for the original Banksters, in the same way that Bear Sterns and SVB were back doors for the bigger and more heavily regulated formal banking sector prior to their own implosions.

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  • [–] 12 points 4 months ago (1 child)

    Good. Anything to be able to buy ram in 2026

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  • [–] 6 points 4 months ago (2 children)

    It's as if under trump stock markets are even more separated from reality, if anyone else ever wants to come in and fix all of this, they will suddenly be the worst president ever because "number go down" in order to actually try and have an economy that is based in reality.

    That said with US debt they can never truly be based in reality.

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  • [–] 5 points 4 months ago

    They’re never going to pay back the debt; that was never the plan. the Trump-Epstein class is just stealing everything they can while they can still get away with it. They will either print their way out via hyper inflation or more likely replace the dollar with some crypto shit coin.

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  • 5 comments in c/globalnews@lemmy.zip view that post
    [–] 19 points 4 months ago (2 children)

    An AI market collapse would be a boon to the global tech economy. Every business is being limited by ram prices.

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  • [–] 6 points 4 months ago

    Is it starting? Is the bubble bursting?

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  • [–] 3 points 4 months ago

    Let's goooo! Probably not yet, but soon...

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