Chip selloff deepens Wall Street losses as doubts grew over AI returns

Oct 16, 2026

A significant selloff in semiconductor stocks affected major US indexes amid rising concerns regarding AI investment returns. The Nasdaq 100 dropped by 1.8%, continuing its longest losing streak since 2008. Market participants are questioning if AI infrastructure investments will yield profitable returns despite strong demand for chips. Federal Reserve Chairman Kevin Warsh maintained a neutral stance on interest rates during discussions at the IMF meetings.

Morning Dispatcher

Get all the up-to-date breaking news about politics, business, entertainment, sports, lifestyles, weather, traffic, and local news in a seamless digital environment only in Morning Dispatcher.