- NASDAQ 100 plunged during the trading session on Wednesday, as we continue to see a lot of volatility in trading.
- All things being equal, this is a market that continues to see a lot of volatility, and as we start heading toward the Jackson Hole Symposium statements, I think a lot of traders are worried about the idea of Jerome Powell not being as dovish as once thought, and I think we’ve got a situation where traders are starting to panic on the idea that perhaps cheap money will be coming as rapidly as stock.
Furthermore, there have been a few things coming out recently that has people questioning the whole artificial intelligence trade. After all, it appears that almost everybody who has invested in artificial intelligence as far as companies are concerned, are still underwater and are not realizing gains from those investments.
Top Forex Brokers
It’s almost as if Wall Street suddenly realized that artificial intelligence was yet another hype that people bought into, before the reality of it. Sam Altman said during the week that it was very much like the Internet, when the stock market got way ahead of the reality. If that’s the case, then that makes a lot of sense that we would see selling pressure on the NASDAQ 100 as it is driven by just a handful of stocks.
AI Stocks
Speaking of artificial intelligence stocks, Palantir is down 9% for the day as I write this analysis, and it’s worth noting that Nvidia is down roughly 2.5% as well. Apple is down, as well as Meta. In other words, anybody that has anything to do with artificial intelligence is struggling during the session, and that of course has been a huge part of what has pushed the NASDAQ 100 higher for so long. Nonetheless, this is a market that continues to see a lot of volatility, but it is still very much in an uptrend. I anticipate that sooner or later the buyers will come back in and start buying the dip again.
Ready to trade our stock market forecast and analysis? Here are the best CFD stocks brokers to choose from.