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Review & Preview: AI Jitters
Barrons.com53d agoneutral
Review & Preview: AI Jitters

REVIEW PREVIEW NEWSLETTER Chip off the Old Block. All eyes were on tech today as the sector declined 3.7% and investors sold off chip stocks. Even some of the bigger artificial intelligence companies took a hit.

Wall Street ends lower as AI spending concerns mount
Reuters Videos53d agoneutralVIDEO
Wall Street ends lower as AI spending concerns mount

<body><p>STORY: A down day on Wall Street Tuesday saw the Dow edge lower, while the S&P 500 tumbled nearly one-and-a-half percent and the tech-heavy Nasdaq plummeted about 2.2%.</p><p>Jitters over debt-funded AI spending led to sharp losses in semiconductor and other Big Tech tech stocks.</p><p>:: Marvell Technology&nbsp;</p><p>Shares of Nvidia dropped more than 4%, Intel shed over 6% and shares of Marvell Technology tumbled more than 9%.</p><p>Memory chipmakers Micron Technology and SanDisk, among the best performers on the S&P 500 this year, both fell around 13%.</p><p>Micron's earnings report on Wednesday will draw intense scrutiny, says Nancy Tengler, CEO and chief investment officer at Laffer Tengler Investments.</p><p>"So I think this is a hugely important report, much like Nvidia has been in other periods. [FLASH] We're gonna be watching their guidance on HBM4, which is the Vera Rubin platform Nvidia relationship that they have - is that continuing to grow quickly? And then margins. The company pulled, reported 81% margins. I mean, imagine that - eighty-one percent. And the market is determined that they stay above eighty [percent]. So, those are the two things we'll be paying attention to."</p><p>Among other movers,&nbsp;Elon Musk's SpaceX, which debuted this month, continued its bumpy ride, briefly dipping below its opening price of $150 before paring losses to close about 1% higher.&nbsp;</p><p>Investors on Tuesday were also watching developments in the Middle East. The Senate backed legislation to halt U.S. military action against Iran, but ‌it was unclear how this would affect the war as Washington continues to negotiate a peace agreement with Tehran.</p></body>

Alphabet, Google's Parent, Is Joining the Dow
The Wall Street Journal53d agoneutral
Alphabet, Google's Parent, Is Joining the Dow

Google parent Alphabet will be added to the Dow Jones Industrial Average beginning Monday, the index’s operator, S&P Global, said Tuesday. The company represents the fifth of the so-called Magnificent Seven growth stocks to enter the price-weighted index, which has historically been less vulnerable to tech swings than the Nasdaq Composite Index or the S&P 500. “Adding Alphabet will broaden and strengthen the DJIA’s exposure to these dynamic areas of the U.S. economy,” S&P said in a written statement.