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.

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[–] 50 points 3 hours ago
[–] 5 points 2 hours ago*

stocks tied to the buildout of AI data centers

Slowing down data center construction might be bad for the companies making hardware for them, but it's probably good for the AI companies that are throwing money into data centers with no real plan for making their money back.

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  • [–] 2 points 1 hour ago

    Sorry, just put excess savings in an all world yesterday so it had to happen. Rules are rules.

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  • [–] 35 points 4 hours ago (11 children)

    Time to buy, but buy companies that aren't all-in on AI.

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  • [–] 26 points 3 hours ago (4 children)

    Bro we are just getting started on this bear market, tread very cautiously attempting to buy the dip at this juncture.

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  • [–] 6 points 2 hours ago

    As soon as you see the billionaires cashing out of the casino ... it's already too late

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  • [–] 20 points 4 hours ago (4 children)

    And of course it will all be Biden's fault according to the Whitehouse.

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  • [–] 7 points 3 hours ago (1 child)

    I know broad market is down, but it makes me happy my portfolio was basically unaffected.

    I was asked by my bank to invest in a data centre “infrastructure fund” and said no.

    Why would I invest in hardware at all time high prices?

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  • [–] 10 points 4 hours ago (5 children)

    Where’s all the iT’s NoT aBuBbLe people now??

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  • [–] 11 points 3 hours ago (2 children)

    I thought there was pretty much consensus here that AI is a bubble.
    IT as whole IDK, but most definitely AI.

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  • [–] 6 points 3 hours ago (1 child)

    Overall that’s definitely the sentiment here, but there were some roaming contrarians/AI huffers who were insistent it’s not a bubble because ‘inference is getting cheaper’/‘companies losing money at first is normal’/everything except the obvious.

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  • [–] 2 points 3 hours ago

    Inference is cheaper is true, and they charge more, but they are still deep in the red, and there is no way they can achieve a reasonable return on their investments.
    They may not go bankrupt, but they won't make a whole lot of money either.

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  • [–] 7 points 3 hours ago (8 children)

    Really? 3%? Why is this news.

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  • [–] 8 points 2 hours ago

    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.

    • Gold up only 1% since two days ago
    • Short term (4 week) US Treasuries are down by about 10 basis points since last week.
    • Real Estate sales are down
    • Private Equity withdraws are still hitting their max ceilings

    Is this a selloff to pay off debt perhaps?

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  • [–] 14 points 3 hours ago (2 children)

    How familiar are you with the stock market? Because that’s 3x what it moves in a normal day and represents billions in losses.

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  • [–] 1 point 2 hours ago

    You make most of your money during a bear market, it just takes time to realize it.

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  • [–] 1 point 3 hours ago

    There goes my tax money :(

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  • [–] 1 point 3 hours ago*

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