5th February 2026 – Heavy rotation out of tech stocks continues as Tech Bears emerge

The tech selloff deepened as investors rotated out of high-growth AI names, with AMD plunging 17% after weak guidance and Nvidia, Palantir, Snowflake, and Datadog also sliding. Alphabet briefly dropped before rebounding on news of massive AI investment plans, even as costs spooked investors. Outside tech, Eli Lilly and Super Micro Computer stood out with bullish outlooks. Meanwhile, softer U.S. employment data and geopolitical developments — including a Trump–Xi call and renewed tensions over Iran — added to market volatility. Oil rose and gold eased as traders reassessed risks across sectors.5 Key Takeaways:Tech stocks slumped as AI enthusiasm cooled; AMD led losses with a 17% drop.Alphabet unveiled a record AI investment plan of up to $185B, lifting chip names like Broadcom and Nvidia.ADP data showed weak U.S. job growth at just 22K new positions in January.Eli Lilly and Super Micro Computer bucked the trend with strong earnings and guidance.Trump’s positive call with China’s Xi and shifting commodity prices underscored ongoing geopolitical uncertainty.