💻 Tech ETF Slides as Powell’s Remarks Weigh on Sentiment; Nvidia, Microsoft, Apple Lead Declines | Tech Sector Insights
(VGT) fell after Fed Chair Jerome Powell flagged inflation risks despite potential rate cuts. Nvidia’s multibillion-dollar AI partnership with OpenAI failed to lift tech stocks, with Microsoft and Apple also retreating. Oracle announced a Texas data center expansion with OpenAI.
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Below are AI-generated insights on moves in the information technology sector, powered by MarketReader technology.
Tuesday, September 23
VGT [-1.1%]
Vanguard Information Technology ETF (VGT)
The Vanguard Information Technology ETF (VGT) is currently down approximately 1.04%. This decline aligns with overall market sentiment following comments from Federal Reserve Chair Jerome Powell regarding economic conditions and potential interest rate cuts amid rising inflation risks. Notably, Nvidia announced a substantial investment in OpenAI for AI infrastructure, yet this news has not positively impacted tech stocks, as concerns over labor market weaknesses and mixed PMI data suggest slowing growth in both manufacturing and services sectors. Among VGT's holdings, significant contributors to the performance drop include Nvidia, Microsoft, and Apple, all of which experienced declines. Additionally, Oracle's announcement of a data center expansion in Texas with OpenAI is noteworthy, while Synopsys faces scrutiny due to potential violations of federal securities laws after disappointing third-quarter results. The S&P 500 Index has also declined by 0.59%, reflecting broader market trends that may influence VGT's performance.