Why Oracle, Arm, and Other Artificial Intelligence (AI) and Semiconductor Stocks Tanked on Friday

The market ended the week on a somber note as the economy once again took center stage. Investors were digesting a surprisingly robust jobs report that highlighted the Federal Reserve's ongoing battle with inflation, the potential for future interest rate cuts, and what it means for the overall economy. To add insult to injury, a decision by the Biden administration regarding advanced semiconductors used for artificial intelligence (AI) sent a ripple through the semiconductor industry.With that as a backdrop, database and AI chipmaker Oracle (NYSE: ORCL) dropped 4.4%, chip architect Arm Holdings (NASDAQ: ARM) tumbled 3.4%, and semiconductor specialist Broadcom (NASDAQ: AVGO) fell 2.8% as of 1:10 p.m. ET on Friday.A check of all the usual suspects -- financial reports, regulatory filings, and changes to analysts' price targets -- revealed no company-specific news to explain the swoon. This suggests the economy and developments in the semiconductor industry stole the spotlight.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool