Nasdaq suffers a 3% loss as investors rotate out of technology (COMP:IND:)
The Nasdaq suffered a 3 percent loss, plunging 975 points to cap its worst month in more than a year and hitting its third correction of 2026. Wall Street braced for a steep sell-off as investors rotated out of technology and fled into safe havens like Treasurys. The tech trade hammered US markets, wiping out nearly $1 trillion in value as recent corporate earnings reports stoked widespread fears over artificial intelligence spending. Big tech shares including Amazon and Intel dropped sharply following their latest financial results.
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- ✓ The Nasdaq suffered a 3 percent loss and plummeted 975 points.
- ✓ The Nasdaq 100 hit its third correction of 2026 amid the unwinding of tech stock bets.
- ✓ US markets dropped by nearly $1 trillion during the tech sell-off.
- ✓ Amazon and Intel shares dropped following their earnings reports.
What changed
Intel and Amazon earnings reports triggered a broad sell-off across mega-cap chipmakers and technology stocks.
Live updates
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Nasdaq Drops 3 Percent as Tech Sells Off
The Nasdaq suffered a 3 percent loss, plunging 975 points to cap its worst month in more than a year and hitting its third correction of 2026. Wall Street braced for a steep sell-off as investors rotated out of technology and fled into safe havens like Treasurys. The tech trade hammered US markets, wiping out nearly $1 trillion in value as recent corporate earnings reports stoked widespread fears over artificial intelligence spending. Big tech shares including Amazon and Intel dropped sharply following their latest financial results.
Why it matters
Market participants are increasingly questioning whether the massive financial outlays directed toward artificial intelligence can generate expected returns quickly enough. This sentiment drove a global technology rout and put the Nasdaq-100 on track for its first monthly loss since July. Analysts noted that the mounting costs of the artificial intelligence race are putting intense pressure on mega-cap chipmakers and broader equity valuations.
What is confirmed
- The Nasdaq suffered a 3 percent loss and plummeted 975 points.
- The Nasdaq 100 hit its third correction of 2026 amid the unwinding of tech stock bets.
- US markets dropped by nearly $1 trillion during the tech sell-off.
- Amazon and Intel shares dropped following their earnings reports.
Still unconfirmed
- Massive spending on artificial intelligence may not deliver the returns that investors expect.
What to watch next
- Further corporate earnings reports from major technology firms
- Movements in safe-haven assets such as US Treasurys
- Analyst reassessments of artificial intelligence capital expenditure timelines
confidence 100%Sources used for this update (9)
- Financial Times — Global tech rout deepens as US earnings stoke AI spending fears
- www.cnn.com — Wall Street sell-off continues as investors question returns on ‘monster AI splurge’
- Seeking Alpha — Nasdaq suffers a 3% loss as investors rotate out of technology (COMP:IND:)
- Bloomberg.com — Nasdaq 100 Hits Third Correction of 2026 on Unwinding Tech Stock Bets
- Yahoo Finance — Update: Nasdaq Plummets 975 Points as Intel's Results Help Trigger Sell-Off in Mega-Cap Chipmakers
- TradingView — Nasdaq-100 On Track For First Monthly Loss Since July — Here's What's Weighing On Tech Stocks
- www.theguardian.com — Tech sell-off drives US markets down by nearly $1tn after ...
- www.ntd.com — Nasdaq Logs Worst Month in More than a Year as Amazon, Intel ...
- www.aol.com — Nasdaq 100 plunges more than 3% to cap its worst month ... - AOL
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