Nasdaq sinks 4.5% in worst week since June as AI selloff deepens

The Nasdaq fell 4.5% for the week, ending a monthlong winning streak with its worst week since late June.The Nasdaq felt the AI financing fears and 3.7% inflation pushed markets toward a December Fed hike.

The S&P 500 declined 1.95%, while the Dow stayed in the green, up 0.7%, as investors rotated out of tech.

CoreWeave, one of the neocloud companies financing AI computing infrastructure, fell nearly 25% this week.

September CPI rose 0.6% on the month and 3.7% from a year earlier, above the 3.6% expected, and futures now price roughly a 94% chance of a December hike.