Wall Street has been gripped by a tech sell-off as fears about AI overspending unsettle investors. The tech-heavy Nasdaq stock index declined 2.5pc when trading resumed on Friday after dropping more than 1.3pc on Thursday. US stocks are sinking after investors were disappointed by a series of third-quarter results from Silicon Valley giants. The market has been unsettled by the level of spending on AI. Amazon's shares fell 4.5pc after it revealed bigger-than-expected capital spending of $77.3bn (£57.7bn) in the third quarter. Intel, the chip maker, plunged 27pc in its worst day for two years after bosses warned it would increase spending this year as it sought to expand production despite a weak PC market.
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