AI-linked selloff hits chips, tech stocks and crypto after US midterms

AI · First reported 5 Nov, 16:26 · Updated 19:37

Image: Wikimedia Commons · NASA Johnson Space Center · Public domain

Technology shares fell as investors weighed potential constraints and costs for AI infrastructure, while Bitcoin reversed its post-election rally amid heavy liquidations. The reports differ in scope: one follows the wider market and crypto selloff, while the others focus on chip stocks and AI data-center economics.

Bitcoin fell to about $76,500, down nearly 5%, after rising above $80,000 on Wednesday; roughly $428 million in crypto long positions were liquidated in an hour.
US technology and semiconductor shares dropped as investors considered AI investment returns and possible scrutiny of data-center expansion.
The reports cite energy, water, land, borrowing costs and permitting as potential pressures on data-center projects, though the extent of any policy changes remains uncertain.
Nvidia shares were reported below their 20-day, 50-day and 200-day moving averages; the article said the company was scheduled to report results on November 17.
One report said defensive sectors including consumer staples, healthcare and utilities rose as some investors shifted away from technology shares.

Summary written by Lux AI from 3 articles

Key facts

Bitcoin: About $76,500, down nearly 5%, in the centre report.
Crypto long liquidations: Roughly $428 million in one hour.
Nvidia reported price: $199.40, below its cited 20-day, 50-day and 200-day averages.
Nvidia earnings date: November 17, according to the Nvidia-focused report.