US stock markets opened lower on Friday as a heavy sell-off in technology and semiconductor shares dragged down the major averages. The pullback comes at the close of a strong quarter, as investors hit the brakes to reassess lofty market valuations and the massive capital investments pouring into artificial intelligence (AI).
The Opening Bell Numbers
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Nasdaq Composite: Dropped 253.2 points (1.00%) to 25,105.41
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S&P 500: Fell 44.7 points (0.61%) to 7,312.74
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Dow Jones Industrial Average: Declined 116.9 points (0.23%) to 51,803.77
Key Market Drivers
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AI Reality Check: After a historic quarterly run fueled by AI optimism, investors are growing increasingly cautious about whether upcoming corporate earnings can justify current stock prices, alongside the steep cost of developing AI infrastructure.
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Chipmaker Pressure: Semiconductor stocks bore the brunt of the early morning losses, snapping a stellar multi-month streak of gains as traders locked in profits ahead of the weekend.
