New Cracks in AI Trade Lead Wall Street to Worst Week Since June

Wall Street experienced its worst week since June as mounting doubts about the AI trade created significant market volatility. Reports of Chinese advances in semiconductors, a hot inflation report, and a meltdown in a prominent AI cloud company's equity and debt markets fueled a rout in chip stocks. A top chipmaker's CEO also likened some AI investors' behavior to gambling, contributing to investor unease.