AI stocks rebound after sell-off wipes trillions from market value

AI stocks rebounded Friday after a massive sell-off erased trillions in market value, with the Nasdaq opening higher following losses sparked by concerns that the Democrat midterm victory would slow AI development. The Nasdaq rose about 1.7% by lunchtime, reversing part of its 5.5% fall, while the S&P 500 gained 0.9%. Nvidia recovered over 4% after dropping 9% Thursday, and AMD and Micron climbed 12% and 8% respectively after both fell more than 17%. Asian and European markets fared worse, with South Korea's Kospi closing down 6% and the FTSE 100 falling 1.01%. Investors also weighed strong US jobs data and Bank of England rate hikes, while analysts said next week would clarify whether the tech rebound would hold.