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AI Stocks Tumble as Oil Hits Five-Month High Amid Iran War Fears
AI stocks tumbled and oil hit a five-month high on Thursday amid Iran war fears and concerns over AI infrastructure costs.
AI-linked stocks fell globally on Thursday as oil prices reached a five-month high due to Iran war fears. The Nasdaq Composite dropped 2.2% and the S&P 500 fell 1.4%, while Nvidia shares declined 3.8%. Meta Platforms shares fell 6.4% despite beating revenue expectations, and Lam Research saw a 9.7% drop following a weak 2026 profit forecast. AP attributes the volatility to high data center costs and expensive borrowing.
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AI Stocks Tumble as Oil Hits Five-Month High Amid Iran War Fears
The S&P 500 dropped 1.4% and the Nasdaq Composite also fell as investors sold off AI stocks, including Nvidia and Meta. Simultaneously, oil prices climbed to their highest level in five months. Market analysts attribute the volatility to fears of war involving Iran and its potential impact on global energy stability. Asian markets also recorded significant losses during the session.