The US stock market crashed on Friday as Broadcom's shocking drop sent tech giants into a panic, pushing investors into cyclical and safe assets. The S&P 500 fell by 1%, the Dow lost 0.4% from record highs, and the Nasdaq plummeted by 1.8%. Broadcom collapsed by 11.4% after a warning about margin pressure 💥, dragging the entire semiconductor and AI sector down. Nvidia fell by 3.3%, Oracle by 4.5%, Palantir by 2.1%, AMD by 4.8%, Micron by 6.7%—this is not just a spike, it's a signal for believers in the AI hype.
The correction reflects growing concerns about margin and the fragility of the AI gold rush, even as recent Fed rate cuts attempt to support sentiment. The president of the Cleveland Fed signals that he leans towards a tighter policy to tame inflation, indicating that Wall Street cannot relax yet. Amid the turmoil, Lululemon's shares rose by 9.6%, proving that not all companies are stuck in this chaos—they raised their full-year forecast and announced a new CEO, breaking the trend.
Weekly review: S&P 500 fell by 0.5%, Dow Jones rose by 1.2%, Nasdaq fell by 1.9%. Technical dreams collide with harsh reality—are you ready for the next shock?
