ANALYSIS: US tech stock tumble highlights risk of market reliance on megacaps
By Lewis Krauskopf and Laura Matthews | REUTERS
Turbulence in some of the biggest tech names is reminding investors of one of the major risks to the U.S. stock market’s record-setting rally: Reliance on a handful of mammoth companies to power those gains.
Investors are scrambling to understand the fallout for the artificial intelligence (AI) investment theme that has been a critical driver for stocks over the past two years after the emergence of a low-cost Chinese AI model rattled markets.
Optimism over AI has helped propel shares of chipmaker Nvidia and others of the…
