Investors Rotate From Tech to Bonds as Nasdaq Slides for Fourth Day

what happened

The Nasdaq is down for a fourth consecutive day as worries about AI-linked stocks push investors out of technology and into government bonds, according to the Wall Street Journal. Strong results from leading AI companies have not been enough to lift sentiment.

Anthropic reported strong third-quarter revenue growth, and TSMC, the world's largest contract chipmaker, posted another record profit, saying there is "no ceiling" to its profitability. Even so, tech shares keep weakening. CoreWeave, a cloud computing firm whose heavy borrowing became the focal point of the selloff, is sliding again after plunging 15% on Wednesday.

In Asia, South Korea's Kospi, dominated by chip stocks, dropped 7%, while Japan's Nikkei fell almost 5%. Treasury yields fell and gold prices rose as money moved into safer assets. The Dow industrials and transports are both higher.

why it matters

For markets, this points to a sharp shift in risk appetite: money is leaving growth-oriented technology names for defensive assets, which supports bonds and gold while weighing on chip and cloud stocks. The CoreWeave decline also highlights investor sensitivity to debt levels at companies building AI infrastructure. Strong earnings alone have not been enough to reassure traders, so yields, gold and the Nasdaq's next moves will be key indicators in the sessions ahead.

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