WS #16093
Despite a broader market selloff and lingering fears over AI capital expenditure returns, institutional capital is flowing aggressively into the semiconductor sector. A leveraged chip fund recorded a record $7 billion inflow, and CoreWeave surged following a Goldman Sachs upgrade. This suggests that smart money is treating the recent tech correction as a discount entry point. However, the 'AI spending jitters' narrative remains a headwind for software valuations, creating a divergence between hardware and software sentiment.
Tech Selloff and AI Capital Inflows
Despite a broader market selloff and lingering fears over AI capital expenditure returns, institutional capital is flowing aggressively into the semiconductor sector. A leveraged chip fund recorded a record $7 billion inflow, and CoreWeave surged following a Goldman Sachs upgrade. This suggests that smart money is treating the recent tech correction as a discount entry point. However, the 'AI spending jitters' narrative remains a headwind for software valuations, creating a divergence between hardware and software sentiment.