AI-Linked Stocks Slide as Investors Question Profitability of the Boom

Traders on the New York Stock Exchange reported a sharp pullback in AI-related equities after Anthropic’s latest filing showed a slowdown in sales from Q2 to Q3 and major cloud providers signaled reduced capital-expenditure plans. The market reaction included a 4% drop for the Global X Artificial Intelligence & Technology ETF this week, an 8% loss for the fund since early October, and a 29% decline for the iShares Semiconductor ETF from its recent peak. Individual chipmakers such as Intel fell 25%, Micron 5.5%, and Nvidia 4%, while hyperscalers Amazon and Google each slipped around 1–2%.

CNBC

• Global X AI ETF: –4% this week, –8% since early October.

CNBC

• iShares Semiconductor ETF: –29% from its recent high.

CNBC

• Intel: –25% on revenue guidance; Micron: –5.5%; Nvidia: –4%.

CNBC

• Amazon: –2%; Google: –1% after reporting a decline in core advertising revenue.

CNBC

Google executive Philipp Schindler highlighted a “strong growth in AI-mode queries” but noted that current monetization of those queries remains lower than traditional search.

CNBC

• “You want to make sure that the reward is worth the risk,” — JJ Kinahan, SVP at Cboe Global Markets

CNBC

• “I think the reward will be [there], but it continues to be a lot of money up front.” — Kinahan, SVP at Cboe Global Markets

CNBC

• “I'm a little worried about the trade,” — Mike Khouw, YieldMax strategist

CNBC

• “Historically, tech stocks have call skews. So people are more willing to buy greed [with] upside calls than they are to buy insurance downside puts. I've seen that reverse in the last three days,” — Dennis Davitt, CIO and co-founder of Millbank Dartmoor Portsmouth

CNBC