NEW YORK (AP) — Another wipeout for stocks tied to the buildout of AI data centers is overwhelming Wall Street on Thursday and more than erasing all its gains from the day before, which was its best in three months.
The S&P 500 fell 3.5% after opening with a loss that accelerated through the morning. It’s on track for its worst drop since President Donald Trump shook markets worldwide in April 2025 after announcing his “Liberation Day” tariffs.
Really? 3%? Why is this news.
Its news, but its not 2008-financial-crisis or Black Monday (22.6% drop in a single day) scale news.
Whats reading even more strange to me is that the 3% drop indicates a sell-off of stocks. The idea is that the money disappearing from the stock market goes somewhere, but all of the normal places it goes are also dropping.
Is this a selloff to pay off debt perhaps?
According to the article it’s going into long term treasuries
For those who don’t know how bonds work, a bonds yield going down means its price has gone up. Say a bond pays $2 a year. If that bond is priced at $100 then it’s yield is 2% , if that bonds price goes up to $200 then it’s yield is now only 1%.
How familiar are you with the stock market? Because that’s 3x what it moves in a normal day and represents billions in losses.
It’s news when it goes down a bit but it’s not news when it’s back on all-time-high 3 months later.
If this had happened over three days instead of one then it wouldn’t be news?
It would be news if it kept happening for many days, because that’s less likely to be statistical noise. But yes, a cumulative 3 day drop within hours of opening is news.
The NASDAQ drop today is equivalent to a 1 day ~12 or 13% drop just 3 years ago…
It’s a big drop. No comment on what it means, bit it’s absolutely a big drop.
It’s “suicide hotlines being posted on WSB” bad, that’s my usual indicator for newsworthy stock crashes.
So WSB are authoritative now?
I thought they were the authorities!