Nordea says tech selloff over AI investment fears is overdone

• Nordea sees an overreaction in semiconductor stocks to fears of slower AI infrastructure expansion, with valuations falling despite strong earnings growth.
• Democratic gains in US midterm elections raised concerns about slower data center expansion from 2028; Texas accounts for roughly 25% of planned capacity.
• Near-term AI investments are largely committed, while major technology companies continue to signal substantial spending.
• A slower expansion could extend the investment cycle, giving technology companies more time to turn spending into revenue and profit.
• More attractive valuations, stalled interest-rate increases and extremely negative sentiment support cautious optimism, though markets are expected to remain volatile.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Nordea Bank Abp published the original content used to generate this news brief on November 06, 2026, and is solely responsible for the information contained therein.