Headline: Tech Selloff Deepens as Nvidia Slips; Nasdaq Leads Declines
U.S. stocks fell sharply, with the Nasdaq Composite leading losses as investors reassessed the AI trade and the debt-fueled buildout of data-center capacity. After dropping nearly 2% at the session low, the Nasdaq was recently off about 1.8%, while the S&P 500 and Dow Jones Industrial Average were down roughly 1.1% and 0.8%, respectively.
Nvidia shares extended their pullback amid concerns that large-cap tech and AI-related names have run too far, too fast. Sentiment was pressured further after SoftBank disclosed earlier this week it had exited its Nvidia position. Even so, Nvidia remains central to AI infrastructure as the primary supplier of advanced AI chips; while customers fund the build, ongoing investment in AI capacity continues to underpin demand for Nvidia’s products.
From a technical perspective, Nvidia’s intraday low around $185.35 tested—but held—its 50-day moving average near $185.14, signaling initial support. A sustained break below that level could put the 100-day moving average around $178.61 in focus as the next support zone. Traders are watching whether buyers continue to defend these levels amid broader tech-sector volatility.
Key Points: – Nasdaq falls about 1.8% intraday; S&P 500 down ~1.1%, Dow off ~0.8%. – Nvidia stock slides as investors question the durability of the AI rally. – SoftBank recently exited its Nvidia stake, adding to sector pressure. – Nvidia tested its 50-day moving average (~$185.14) and held intraday. – A break of the 50-day MA could bring the 100-day MA (~$178.61) into play. – Continued AI infrastructure investment supports Nvidia’s demand outlook.
