From software to real estate, U.S. sectors under the grip of AI scare trade


Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., February 9, 2026. REUTERS/Brendan McDermid

Feb 13 (Reuters) - Wall Street is in the ⁠grip of disruption worries from AI. It first started with investors dumping shares of software companies but soon spread to sectors seen as vulnerable to automation, driving sharp losses ⁠in U.S. stocks this week.

The AI scare trade did not spare even sectors such as private credit, real estate brokers, data analytics, legal services and insurers.

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