Morgan Stanley, Jefferies, and SpaceX warn that public backlash over AI job losses and energy costs poses material risk to tech stock valuations.

Wall Streets AI-driven technology rally faced pressure as investors questioned whether rising infrastructure spending can generate sufficient returns. While hyperscalers such as…

(Bloomberg) -- Wall Street got a reality check after a selloff in the world’s largest technology companies fueled concern the artificial-intelligence frenzy that has powered the…

Tech companies are spending big on AI, but investors are getting nervous

Tech companies are spending big on AI, but investors are getting nervous

Shares of technology companies tumbled as traders fled the sector due to doubts about the sustainability of the artificial-intelligence boom.

Morgan Stanley, Jefferies, and SpaceX warn that public backlash over AI job losses and energy costs poses material risk to tech stock valuations.

The Nasdaq fell 2.2% and S&P 500 dropped 1.4% as investors question stretched AI valuations and $500 billion in AI-related corporate borrowing in 2026.