Stock Market Sell-Off: PLTR Stock Drops 8% As Fears of AI Bubble Spike
The AI trade is taking a hit on Tuesday.
Fears that valuations in the tech sector have reached unsustainable levels ratcheted up on Tuesday after Palantir stock tumbled following its third-quarter earnings report, despite solid results and upbeat guidance. The AI software giant beat estimates for the last three-month period, pulling $1.18 billion in revenue, ahead of the expected $1.09 billion.
But shares were down as much as 9% in the morning, before paring their losses to trade around 7% lower. Other leaders in the AI trade sold off in tandem, and the tech-heavy Nasdaq 100 was down more than 1%.
The S&P 500 dropped 1% and the Dow Jones Industrial Average shed 180 points. Bond yields dipped as traders shifted…
