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Broadcom's Disappointing Results Spark AI Bubble Fears

12/12/2025

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Story summary
  • On December 12, 2025, futures for Standard & Poor's 500 Index (S&P 500) and Nasdaq fell after Broadcom's disappointing results, raising AI-bubble concerns.
  • Broadcom fell 8.4% after warning of lower future margins despite strong revenue projections.
  • Advanced Micro Devices declined 1% as chip stocks weakened.
  • The previous day, the S&P 500 and Dow closed at highs as investors shifted from tech to value, with Lululemon Athletica Inc. rising 12%.