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Broadcom's quarterly results and guidance sailed past Wall Street estimates. It didn't matter.
The chipmaker's shares plummeted 11% on Friday, their worst day since January, as investors ran for the exits on the artificial intelligence trade. Oracle dropped 4.5% a day after plunging 10% following its earnings report .
Nvidia and Advanced Micro Devices , the two leading makers of graphics processing units for AI workloads, slid about 3% and 5%, respectively.
AI has been the driver for the stock market and the broader economy this year, so any negative sentiment has potentially far-reaching consequences. The Nasdaq on Friday fell about 1.69%, and the S&P 500 declined by 1%.
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