Shares in major technology and artificial intelligence companies have begun recovering following a massive sell-off that erased trillions of dollars from global stock markets.
The technology-heavy Nasdaq Composite opened higher on Friday, reversing some of the losses recorded during Thursday’s market downturn, which spread from the United States to Asian and European markets.
The sell-off was partly driven by investor concerns that the Democratic Party’s victory in the US midterm elections could slow the pace of artificial intelligence development.
However, fresh employment figures provided a mixed outlook for the American economy, with the latest data showing that 165,000 jobs were added in September, exceeding expectations.
The Nasdaq Composite gained 1.23% at the opening bell and continued rising during early trading, recovering some ground after plunging 5.5% on Thursday.
The S&P 500 also opened slightly higher, while the Dow Jones Industrial Average recorded a modest decline.
Several technology companies that suffered significant losses during Thursday’s trading session also experienced early recoveries.
Nvidia, one of the biggest losers during the downturn, saw its shares rise by more than 6% on Friday after falling over 9% the previous day. The decline had wiped hundreds of billions of dollars from the company's market valuation.
The recovery offers some relief to investors, although uncertainty surrounding technology valuations, artificial intelligence investment and broader economic conditions continues to influence market sentiment.
