Tech Stocks Stumble as Inflation Data Rattles Credit Markets

Oracle shares plunged 9% as the cloud-computing provider grapples with the fallout from its substantial debt load used to bankroll new data centers. The broader PHLX Semiconductor Sector index fell 5%, with Nvidia shedding 3% of its market value amid the sector-wide retreat. CoreWeave, an Nvidia-backed data center operator, saw its shares plummet 15% as investors reacted to mounting stress within its bond portfolio.

Even companies with strong fundamentals felt the pressure. Dutch equipment giant ASML Holding saw its stock price decline despite reporting robust sales driven by persistent demand for AI-capable chips. Meanwhile, internal turbulence at OpenAI deepened as Sachin Katti, the company's head of computing capacity, announced his departure for next month, coinciding with reports of a corporate espionage incident involving a hidden camera discovery at the firm.