--- title: "IXIC: Nasdaq Composite Falls 2.1% as AI Trade Unwinds, Mag 7 Sheds $800 Billion" type: "News" locale: "en" url: "https://longbridge.com/en/news/293712317.md" description: "The Nasdaq Composite fell 2.1% as the 'AI trade' unwound, with the Magnificent Seven shedding $800 billion in market value. The selloff was driven by soaring oil prices above $100 and investor concerns over excessive AI spending, highlighted by negative free cash flow reports from Alphabet and Tesla. Additionally, new US tariffs on imports added to market uncertainty, while futures indicated a cautious pause ahead." datetime: "2026-07-24T06:43:11.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/293712317.md) - [en](https://longbridge.com/en/news/293712317.md) - [zh-HK](https://longbridge.com/zh-HK/news/293712317.md) generator: "portal-rs" --- # IXIC: Nasdaq Composite Falls 2.1% as AI Trade Unwinds, Mag 7 Sheds $800 Billion Key points: - Nasdaq index drops 2.1% - Mag 7 stocks get dumped - Futures pretty much unchanged Ordinary Thursday or something else? Not like we’ve never seen that much volatility before. 📉 **AI Party Takes a Breather** - Wall Street hit the brakes Thursday as the Nasdaq Composite sank 2.1%, the S&P 500 lost 1.2%, and the Dow fell 1%. - Behind it all was a familiar combo of soaring oil prices and fresh doubts that Big Tech's AI spending spree is getting just a little overboard. - Brent crude pushed above $100 a barrel for the first time in two months, adding fresh inflation worries just as investors were already digesting disappointing reactions to earnings from Alphabet and Tesla. 💸 **$800 Billion Goes Poof** - The Magnificent Seven collectively slid around 5%, wiping roughly $800 billion off their combined market value. It was the group's worst one-day performance since the tariff-driven selloff of April 2025. - Alphabet tumbled 6.9% after lifting its AI spending forecast to as much as $205 billion, even as it reported blockbuster revenue. Investors fixated instead on the company's first-ever negative free cash flow, meaning more cash went out than came in during the quarter. - Tesla did even worse, plunging 14% after posting negative free cash flow for the first time in two years as it doubled down on robotaxis, robotics and AI infrastructure. Ambition is expensive — and this week, Wall Street sent the invoice. 🌍 **Tariffs Join the Mix** - Markets also had fresh policy news to chew on. The US Trade Representative imposed new tariffs under Section 301 of the Trade Act, targeting 60 economies over forced-labor enforcement. Duties range from 10% to 12.5%, covering nearly all US imports. - The new trade measures add another layer of uncertainty to an already nervous week, even if they aren’t the primary market driver. - Looking ahead, futures suggested traders were catching their breath rather than rushing back into risk. - S&P 500 futures hovered near flat early Friday, Nasdaq futures eased 0.3%, and Dow futures slipped modestly as investors waited to see whether Thursday's AI selloff was a reset — or the start of something bigger. ### Related Stocks - [TSL.US](https://longbridge.com/en/quote/TSL.US.md) - [TSLA.US](https://longbridge.com/en/quote/TSLA.US.md) - [TSDD.US](https://longbridge.com/en/quote/TSDD.US.md) - [TQQQ.US](https://longbridge.com/en/quote/TQQQ.US.md) - [USOI.US](https://longbridge.com/en/quote/USOI.US.md) - [TSLT.US](https://longbridge.com/en/quote/TSLT.US.md) - [.IXIC.US](https://longbridge.com/en/quote/.IXIC.US.md) - [TSLG.US](https://longbridge.com/en/quote/TSLG.US.md) - [SCO.US](https://longbridge.com/en/quote/SCO.US.md) - [TSLR.US](https://longbridge.com/en/quote/TSLR.US.md) - [TSLL.US](https://longbridge.com/en/quote/TSLL.US.md) - [TESL.US](https://longbridge.com/en/quote/TESL.US.md) - [XDAT.US](https://longbridge.com/en/quote/XDAT.US.md) - [USO.US](https://longbridge.com/en/quote/USO.US.md) - [UCO.US](https://longbridge.com/en/quote/UCO.US.md) - [TSLZ.US](https://longbridge.com/en/quote/TSLZ.US.md) - [TSLS.US](https://longbridge.com/en/quote/TSLS.US.md) - [BNO.US](https://longbridge.com/en/quote/BNO.US.md) - [TSLQ.US](https://longbridge.com/en/quote/TSLQ.US.md) - [07766.HK](https://longbridge.com/en/quote/07766.HK.md) - [ONEQ.US](https://longbridge.com/en/quote/ONEQ.US.md) - [QQQ.US](https://longbridge.com/en/quote/QQQ.US.md) - [QQQM.US](https://longbridge.com/en/quote/QQQM.US.md) - [QQEW.US](https://longbridge.com/en/quote/QQEW.US.md) - [QQQE.US](https://longbridge.com/en/quote/QQQE.US.md) - [QLD.US](https://longbridge.com/en/quote/QLD.US.md) - [PSQ.US](https://longbridge.com/en/quote/PSQ.US.md) - [SQQQ.US](https://longbridge.com/en/quote/SQQQ.US.md) - [QID.US](https://longbridge.com/en/quote/QID.US.md) - [TSLI.US](https://longbridge.com/en/quote/TSLI.US.md) - [TSLO.US](https://longbridge.com/en/quote/TSLO.US.md) - [TSLW.US](https://longbridge.com/en/quote/TSLW.US.md) - [TSLY.US](https://longbridge.com/en/quote/TSLY.US.md) - [TSYY.US](https://longbridge.com/en/quote/TSYY.US.md) - [TYYY.US](https://longbridge.com/en/quote/TYYY.US.md) - [CRSH.US](https://longbridge.com/en/quote/CRSH.US.md) - [TSLP.US](https://longbridge.com/en/quote/TSLP.US.md) - [MAGX.US](https://longbridge.com/en/quote/MAGX.US.md) - [GUSH.US](https://longbridge.com/en/quote/GUSH.US.md) - [DRIP.US](https://longbridge.com/en/quote/DRIP.US.md) - [09366.HK](https://longbridge.com/en/quote/09366.HK.md) - [.SPX.US](https://longbridge.com/en/quote/.SPX.US.md) - [.DJI.US](https://longbridge.com/en/quote/.DJI.US.md) - [GOOGL.US](https://longbridge.com/en/quote/GOOGL.US.md) - [GOOG.US](https://longbridge.com/en/quote/GOOG.US.md) ## Related News & Research - [Google Lost About $186 Billion After 4 of Its Top AI Researchers Left, but Sundar Pichai Says Google Will Be ‘A Founding Investor’ Anyway](https://longbridge.com/en/news/296636401.md) - [Google gives publishers a new way to fight AI-driven traffic losses](https://longbridge.com/en/news/296528419.md) - [Mapping the Market: Nasdaq Composite still has room to climb](https://longbridge.com/en/news/296209296.md) - [Wawa-branded EV chargers are expanding beyond Tesla](https://longbridge.com/en/news/296404986.md) - [Tesla Is Finally Getting Ready to Demo a Flying Roadster. It May Not Stop the Sell-Off in TSLA Stock.](https://longbridge.com/en/news/296139457.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**