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Oracle’s AI Spending Spree Rattles Investors as Tech Stocks Tumble

Oracle’s AI Spending Spree Rattles Investors as Tech Stocks Tumble

Author:

Global Cryptocurrency

Published:

2025-12-11 19:39:02

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BTCCSquare news:

Oracle shares plunged 15% to six-month lows after reporting ballooning AI data center costs, sparking a sector-wide selloff. The company’s debt-fueled expansion mirrors Wall Street’s growing skepticism toward unproven AI investments.

Nvidia, Palantir, and Broadcom fell over 3% in sympathy, while the Magnificent 7 ETF dipped slightly. The reaction suggests investors now demand tangible results over promises—a reckoning for the 'buy the rumor' AI trade.

As capital expenditures outpace revenue growth, even tech giants face scrutiny. 'Show me the money' has replaced blind faith in AI narratives, with Oracle’s stumble serving as a cautionary tale for frothy valuations.

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