Baidu, the Chinese internet search giant, saw its stock price plummet 5.97% in a 24-hour period, as Chinese tech companies and AI-related stocks faced a significant selloff. The drop comes amid a broader market downturn, with US stock futures and Chinese equities both experiencing substantial declines.
The selloff in Chinese stocks was particularly severe, with the FTSE China A50 Index Futures falling nearly 4%. Other major Chinese tech companies also suffered losses, with Pinduoduo (PDD) down 7%, JD.com and Li Auto both declining 5%, and Alibaba dropping 4%. This widespread downturn in Chinese ADRs and tech stocks likely contributed to Baidu's sharp decline.
Adding to the pressure on tech and AI-related stocks, US equity futures tumbled, with Nasdaq 100 futures falling 4%. The semiconductor sector was hit particularly hard, with the SOXL ETF plummeting 15%. AI-focused companies like Super Micro and Palantir also saw significant drops of around 9%. As a major player in the AI space, Baidu's stock appears to have been caught in this broader tech and AI selloff. The market turbulence has been attributed to ongoing US-China trade tensions, with President Trump's recent comments about tariffs further fueling investor concerns.
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