Connect with us

News

Global Markets React as AI Stocks Experience Significant Decline

Published

on

Global Markets React as AI Stocks Experience Significant Decline

Financial markets in both the US and Asia have experienced substantial declines as investors rapidly sell off shares in technology companies, particularly those associated with artificial intelligence (AI). This week has seen notable downturns, marking the largest single-day losses in the markets since 2022.

In New York’s Wednesday trading, the S&P 500 fell by 2.3%, and the tech-heavy Nasdaq experienced a significant drop of 3.6%. The Dow Jones Industrial Average also declined by 1.2%. Major technology firms, including Nvidia, Alphabet, Microsoft, Apple, and Tesla, were among those leading the downturn.

On Thursday, Japan’s Nikkei index mirrored these declines in Asia, falling by 3%. This sell-off comes after a period where technology and AI-related stocks had significantly driven market gains.

Advertisement

AI chip giant Nvidia saw its shares decrease by 6.8%, contributing to a total loss of about 15% over the past two weeks. Investors are eagerly awaiting Nvidia’s financial results, which are set to be reported at the end of August.

Elon Musk’s electric car company Tesla also faced a steep decline, with shares dropping more than 12% following financial results that did not meet investor expectations. Alphabet, the parent company of Google and YouTube, saw a 5% decrease in its stock price. Although Alphabet’s recent financial results exceeded analyst expectations, the company announced continued high spending for the remainder of 2024, primarily focused on AI development.

In Asia, notable declines were seen among chip makers, including Renesas Electronics and Tokyo Electron in Japan, and South Korea’s SK Hynix. These companies have been heavily invested in AI technology.

Advertisement

“Investors are now becoming more concerned about all this expenditure with AI without the revenue benefit,” commented Jun Bei Liu, Portfolio Manager at Tribeca Investment Partners.

Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

Israeli Strike Hits Beirut as Tensions Escalate Despite Ceasefire

Published

on

Israel has carried out a strike on the Lebanese capital, Beirut, marking only the second attack on the city since a ceasefire came into effect last month.

The Israel Defense Forces (IDF) said the operation, launched at about 14:00 local time (11:00 GMT), was conducted in a “targeted manner”, though officials did not immediately release further details about the intended target.

Israeli media, citing unnamed security sources, reported that the strike was aimed at Ali al-Husni, described as the head of the missile force in the Imam Hossein Division, an Iranian-backed militia aligned with Hezbollah.

Advertisement

The strike hit Dahieh, the densely populated southern suburb of Beirut regarded as Hezbollah’s main stronghold in the capital. Thick smoke rose above residential buildings following the explosion, while residents were heard calling out for relatives and neighbours as emergency crews rushed into the area.

The latest escalation comes despite efforts to maintain a fragile ceasefire between Israel and Hezbollah. Both sides have repeatedly accused each other of violating the agreement through cross-border attacks and military operations.

According to reports, Israel had previously avoided striking Beirut after a request from Donald Trump. However, the latest attack followed waves of Israeli airstrikes targeting Hezbollah infrastructure in southern Lebanon.

Advertisement

The renewed military activity also comes after Israeli Prime Minister Benjamin Netanyahu announced an expansion of ground operations following Hezbollah drone attacks on Israeli troops stationed in southern Lebanon and civilians in northern Israel.

On Wednesday, the IDF warned Lebanese residents to move north of the Zahrani River, approximately 40km from the Israeli border, saying Israeli forces would operate “with extreme force” in affected areas.

Lebanon’s health ministry said at least 11 people were killed in two separate Israeli strikes that targeted the city of Tyre and nearby eastern areas early on Thursday.

Advertisement

Videos shared on social media from Tyre showed streets illuminated by flames, smoke covering roads, and several vehicles damaged or burning. In daylight footage, a large fireball could be seen erupting near high-rise residential buildings, sending a mushroom-shaped plume of smoke into the sky as debris scattered through nearby streets.

The latest developments underline the continuing instability along the Israel-Lebanon border, with growing concerns that repeated exchanges of fire could trigger a wider regional confrontation involving Iran-backed armed groups and Israeli forces.

Advertisement
Continue Reading

News

New Hamas Military Commander Killed in Gaza City Strike

Published

on

The head of the military wing of Hamas, Mohammed Odeh, has been killed in an Israeli strike in Gaza City, only days after the death of the group’s previous military commander in a separate attack.

Local medics and witnesses said the strike, which took place on Tuesday, also left dozens of people injured after a residential building in one of Gaza City’s busiest market districts was hit.

The Israeli military and the Shin Bet security agency said the operation targeted buildings allegedly being used as a hideout by Odeh. According to a joint statement, Israeli forces had tracked his movements and those of his associates over several months before carrying out the strike.

Advertisement

On Wednesday, Hamas confirmed that Odeh had died in the attack along with his wife and two of his children.

Although a ceasefire between Israel and Hamas was agreed in October, incidents of violence have continued to occur across the Gaza Strip on an almost daily basis, highlighting ongoing tensions despite international hopes for a more stable security situation.

Tuesday’s strike hit the top three floors of the al-Kayali building in central Gaza City, where crowds had gathered for shopping activities ahead of the Muslim holiday of Eid al-Adha.

Advertisement

Emergency and rescue teams quickly moved to the scene to assist victims and search through the damaged structure. However, witnesses said rescue operations were slowed by severe destruction to the building and heavy congestion in the surrounding streets.

In a statement, the Israel Defense Forces and Shin Bet said: “As part of the joint operation by the IDF and Shin Bet to eliminate the terrorist Mohammed Odeh, several buildings in the heart of Gaza City that served as a hideout for him were attacked, after months of intelligence surveillance in order to track his movements and the movements of his assistants in the organisation.”

The statement added that Israeli forces also struck “a nearby apartment belonging to a Hamas terrorist who raided on October 7 and was part of Odeh’s circle of assistants,” referring to the Hamas-led attack on southern Israel that sparked the war in Gaza.

Advertisement

The latest developments come as international mediators and humanitarian organisations continue to push for renewed efforts aimed at reducing violence and improving conditions for civilians affected by the prolonged conflict.

Continue Reading

News

Four Killed After School Minibus Hit by Train in Belgium

Published

on

Two schoolchildren and two adults have died after a train collided with a school minibus in the Belgian town of Buggenhout.

The crash happened shortly after 08:00 local time as the minibus was transporting pupils to a special education school, according to Belgian federal police.

Police spokeswoman An Berger said the vehicle was carrying seven children, along with a driver and a chaperone, when the collision occurred at a level crossing.

Advertisement

Berger explained that the driver had been travelling along a road parallel to the railway line before turning left onto the crossing while the safety barriers were already lowered.

A train passing through Buggenhout then struck the minibus.

Belgian mobility minister Jean-Luc Crucke confirmed reports that the crossing barriers had been down at the time of the accident.

Advertisement

“My first thoughts are with the victims,” he said following the tragedy.

Images from the scene showed the heavily damaged minibus lying on its side near the railway tracks in Buggenhout, a town near Aalst northwest of Brussels.

Authorities said nobody aboard the train was injured, although one passenger was treated for shock.

Advertisement

Zuhal Demir described the incident as “heartbreaking news” and said her thoughts were with the victims, their families and everyone affected.

Ursula von der Leyen also reacted to the crash, saying: “Today, Europe grieves with Belgium.”

Advertisement
Continue Reading

Trending