U.S. Stocks Decline Amid New Fears of AI Slowdown

U.S. Stocks Decline as Fears of AI Sector Slowdown Resurface

U.S. stocks closed lower on Tuesday, April 28, 2026, affected by renewed concerns about the slowdown in the AI sector, leading to clear pressure on technology stocks, especially semiconductor companies.

Wall Street Indices Decline Led by Nasdaq

The Nasdaq index fell by 0.9%, while the S&P 500 index decreased by 0.5% from its record highs, and the Dow Jones Industrial Average dropped by 0.1%, equivalent to 25 points, amid a wave of selling in tech stocks.

Pressure on Semiconductor Stocks Due to Growth Concerns

Shares of semiconductor companies, which had risen more than 40% since the beginning of the year, contributed to the decline of U.S. indices as concerns about the sustainability of growth in the AI sector intensified.

Reports on OpenAI's Performance Raise Investor Concerns

The Wall Street Journal reported that OpenAI did not meet its internal targets regarding weekly users and revenue, raising concerns about its ability to support massive spending on data centers and AI infrastructure.

Fears of a “Bubble” in the AI Sector

These developments sparked widespread debate about the AI sector, with some analysts suggesting that the sector may be in a phase of “investment bubble” due to excessive spending, amid doubts about achieving expected returns and profits in the future.

Decline in Stocks of AI and Chip-Related Companies

Shares of major semiconductor companies saw a sharp decline, with stocks of Nvidia, AMD, and Broadcom dropping, along with a decrease in shares of Core Weave, backed by Nvidia, while Oracle's stock fell due to investor scrutiny over its reliance on OpenAI.

Warnings of Slowdown in Capital Expenditure in the Sector

Chuck Carlson, CEO of Horizon Investment Services in Indiana, stated that OpenAI's reports give investors signals to consider the possibility of a slowdown in growth and what that might mean for capital expenditure in the technology and AI sector.

Anticipation of Major Tech Companies' Results Among the “Magnificent Seven”

Markets are awaiting the announcement of first-quarter results from several major tech companies within the “Magnificent Seven” group, which includes companies with massive capital operating in AI, with Alphabet (Google), Amazon, Meta Platforms, and Microsoft expected to announce their results on Wednesday, while Apple will announce its results on Thursday, and the group also includes Nvidia and Tesla.

Crucial Earnings Season That May Determine Market Direction

The first-quarter earnings season is entering its peak this week, amid expectations that the results from major companies will provide crucial indicators on whether investment in AI is delivering the expected returns for shareholders, which may determine market direction in the upcoming period.