Published on 27 Jan 2025 on Benzinga
7 AI Infrastructure Stocks Plunge Over 20%, Outpace Semiconductor Rout As...
The AI boom that fueled a historic rally in semiconductor and infrastructure stocks over the past two years came to a screeching halt Monday, as a wave of selling swept through the market following the launch of DeepSeek, China's open-source AI model.
While NVIDIA Corp. NVDA grabbed the top of headlines for its $600 billion market-cap wipeout — the largest single-day loss in U.S. market history — and triggered a 7.8% fall in the iShares Semiconductor ETF SOXX, the pain was even more severe in AI infrastructure stocks, which have soared on expectations of an arms race in AI-driven capital expenditures.