Shares of technology companies fell, giving back some of the historic gains from the second quarter as volatility in the artificial-intelligence sub-sector continued.
Sentiment about the AI boom has oscillated between euphoria and fear for much of the last two months, and tech stocks have followed a similar pattern.
The PHLX "SOX" Semiconductor index fell by more than 5%, continuing a long stretch of out-sized moves. The SOX, which tracks AI mainstays such as Nvidia, Intel and Micron, has risen or fallen by an increment of 5% or more 15 times this year, the most since it moved by the same increment 17 times in 2022.
Some investors anticipate similar patterns in the tech sector this year to the Dotcom era. In 2000, the SOX moved by 5% or more 64 times.
CoreWeave shares slid after Bloomberg reported that one of the cloud-computing firm's major clients Meta was developing an internal "Meta Compute" division to sell its excess cloud capacity.
Meta shares rose sharply. Other cloud-computing companies such as Nebius also declined.
Shares of SpaceX fell even after reports that Elon Musk's rocketry and AI firm showed investors a prototype of a handheld device for AI usage ahead of its initial public offering.
A Swedish court ordered Alphabet's Google to pay Klarna $1.97 billion in damages after the buy-now, pay-later company won an antitrust case alleging that the search giant engaged in anticompetitive practices.
Cryptocurrency firms recouped some recent losses as buyers for bitcoin emerged around the $60,000 level.
Strategy, the software maker that has amassed a multibillion-dollar bitcoin treasury, rose by more than 10%.
Bending Spoons, the Italian tech conglomerate that bought up Internet brands including AOL, Eventbrite and Vimeo, rose sharply on its stock-market debut after raising about $1.68 billion in an initial-public offering.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
07-01-26 1649ET
