US Tech Stocks Plummet: Unpacking the US-China Tech War and AI Investment Uncertainty

2025-01-28
US Tech Stocks Plummet: Unpacking the US-China Tech War and AI Investment Uncertainty
Business Today on MSN.com

The US-China tech war is intensifying, and the AI industry is feeling the heat. Jefferies warns that US AI players may face increased pressure to justify further investments in artificial intelligence, with the AI supply chain highly vulnerable to a de-rating. As investors become increasingly cautious, US technology stocks are taking a hit. With the rise of machine learning and cloud computing, the tech sector is at a critical juncture. Will the pressure on AI capex lead to a downturn in 2026? The uncertainty surrounding the US-China tech trade war and its impact on AI investment is causing unrest among investors, sparking concerns about the future of tech stocks.

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