Wall Street ends lower on semiconductor selloff as AI spending concerns mount

Wall Street ends lower on semiconductor selloff as AI spending concerns mount

By Abigail Summerville, Twesha Dikshit and Joel Jose

Tue June 23, 2026  

AI jitters continued into a second day with investors concerned about too much debt propping up too much capital expenditures for AI expansion and will these companies be able to recoup these huge outlays. These jitters were aggravated by Elon Musk turning to the bond market for even more capital. Also impacting the jitters was sentiment that the Fed may actually do two rate increases this year and thus this very interest-sensitive sector is bracing for bad news ahead.  

PCE comes Thursday which is the Fed’s preferred inflation gauge. With the flight from tech, industrials did modestly better and was in the black most of the day but still closed a bit in the red. Of course, all eyes are also on the Middle East with the Senate today rebuffing the war but with considerable uncertainty as to whether this will have any impact. Volume at 24.1 billion was above the 22.53 average. 

DJ: 51,712.71  +148.01      NAS: 26,166.60  -351.33        S&P: 7,472.79  -27.79             6/22

DJ: 51,666.84  -45.87         NAS: 25,587.04  -579.56        S&P: 7,365.46  -107.33           6/23

Tue 6-23-26 4:45 pm Wall Street ends lower on semiconductor selloff as AI spending concerns mount | Reuters