By Vicky McKeever
Publication Date: 2026-02-17 09:55:00
Major tech stocks were in focus on Tuesday morning, including chipmaker Nvidia (NVDA), ahead of the US market reopening after Presidents’ Day.
Developments in AI tools across different sectors fuelled concerns about the technology’s potential to disrupt established companies in industries such as wealth management and logistics, among others.
These market jitters have also weighed on the tech sector itself, with chipmaker Nvidia closing Friday’s session more than 2% in the red, with stock trading 0.5% lower in pre-market trading on Tuesday.
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Aarin Chiekrie, equity analyst at Hargreaves Lansdown, said that “investors are cautiously watching for what slice of the market could be next on the AI hit list”.
“With recent moves seeming rather disconnected from fundamentals, it’s simply not clear what part of the market the AI fears will come down on next,” he said.
“But for context, the US software and services sector is now trading at a discount to the broader sector for just the second time in 30 years,” he added. “For investors willing to stomach some near-term volatility, this looks to be a great time to dive into the market and pick up some software bargains.”
Fellow chipmaker AMD (AMD) was also trending on Tuesday morning after the company announced a deal with India’s Tata Consultancy Services (TCS.NS).
The companies said in a statement on Monday that in an expansion of their…
