USA: Stocks Fall as Chip Selloff Deepens.

US stock indices closed lower on Friday amid a fresh selloff in chipmakers and renewed geopolitical tensions. The S&P 500 lost 1%, the Nasdaq shed 1.5%, and the Dow Jones retreated 407 points. Semiconductor manufacturers plunged on concerns that AI hyperscalers may scale back investment in AI infrastructure, reversing part of this year's rally. Fears of weaker capital expenditure were also fueled by improvements in Chinese AI models, including Moonshot's latest Kimi release. Nvidia lost 2.2%, Broadcom shed 1%, AMD fell 1%, and Intel retreated 2%. Meanwhile, inflationary risks gained momentum as the war in the Middle East continued and fuel prices rose. Economic headwinds were also reinforced after US President Trump claimed China had interfered in the 2020 US presidential election, raising concerns over the durability of the trade truce reached following last year's tariff exchanges. On the earnings front, Netflix sank 7.3% after forecasting another quarter of slowing sales.