Both the S&P 500 (SPX) and the Nasdaq 100 (NDX) are in negative territory on Thursday as Iran continues to hold off on peace negotiations, demanding that the U.S. first lift its blockade on vessels entering and leaving Iranian ports.
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Trade QQQ with leveragePresident Trump has remained adamant that the blockade will stand until the two sides are able to reach a deal and ordered the U.S. Navy to “shoot and kill” any boats laying mines in the Strait of Hormuz.
AI Fears and China AI Theft Accusations Pressure Stocks
Meanwhile, software stocks are dragging the market lower, with the iShares Expanded Tech-Software Sector ETF (IGV) down by 7% at the time of writing. ServiceNow (NOW) is leading the fall and reignited fears of AI disruption after reporting suboptimal first-quarter results.
Furthermore, the White House accused entities operating in China of “industrial-scale” AI technology theft. That raises the risk of stoking tensions between the two countries ahead of President Trump’s trip to Beijing next month.