Nasdaq slides to near one-month low as AI rout deepens

BREAKING: Nasdaq slides to a near one-month low as the AI selloff deepens, with CoreWeave credit default swaps hitting distress levels and investors fleeing tech for the safety of government bonds. 📉

The Nasdaq is sitting at a near one-month low tonight, and the AI selloff isn't slowing down.

What's new today is where the fear showed up. Credit markets. CoreWeave, the data centre firm that borrowed billions to build for the AI boom, now has credit default swaps trading at distress levels. That's the price of insuring its debt against default, and it's flashing the kind of warning you usually see before something breaks, not after.

Traders on the floor in New York watched it unfold, and these pictures do the talking. At the same time, money is pouring out of tech and into government bonds. When growth investors suddenly want Treasuries, they're not being careful, they're being scared.

The index that carried this entire market all year is now the one nobody wants to hold overnight. That's the fact worth sleeping on.

This is Kateryna Kovalenko, reporting for HIT.