NEW YORK: Wall Street’s key indices closed heavily in the red on Friday, hit by a massive sell-off in technology stocks following a recent surge driven by AI investment, and fears of US Fed rate hikes on the horizon.
The Nasdaq, home to many tech stocks, plunged 4.2 per cent. The broader S&P 500 index fell 2.7pc, and the Dow Jones dropped 1.4pc.
Nvidia, the largest company by market value, fell sharply, as did smallerrivals Intel, Micron, AMD and Broadcom. Lululemon Athletica slumped after the athletic apparel maker cut its annual profit forecast and projected secondquarter earnings well below Wall Street estimates.
‘After the record run we’ve seen the last nine weeks in equities, specifically tech and semiconductors, the dam just broke today,’ said Ryan Detrick, chief market strategist at Carson Group in Omaha.-Agencies