Nasdaq falls 2.6% and the S&P 500 1.2%: SI-sector stocks drag markets down
Prepared by Sintelligent with the help of SI. Published in SI: . Updated: .
The technology is the same, but investors are less and less sure that building for SI will pay off with expensive credit.
The S&P 500 had its worst day since July and the Nasdaq lost 2.6% (Guardian, NBC). Weakness in tech stocks was so strong that it masked gains in most other US shares. The Guardian links the fall in SI-sector stocks to fears that the boom is under threat because borrowing to build data centers and buy chips has become expensive, and to the possibility that prices rose too high: shares of Lam Research, whose equipment is needed to make chips, fell 11.8% despite profit and revenue above analysts' expectations. At the same time, NBC notes, markets reacted to rising oil prices amid reports (citing The New York Times) that the US and Israel are preparing a possible operation against Iran.
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