As we’ve discussed frequently, AI and data center stocks have been carrying most of the market’s water for quite some time. Depending on how you measure it, the industry has been responsible for 50-80% of the upside. Yesterday, we saw how susceptible the market is to problems in the sector.

SPX plunged 4.36%, coming within a few points of our first downside target.

COMP plummeted 5.5%, dipping into official correction territory.

The euphoria of the previous session and the breakdown in oil prices…

…was smothered by the fear of a moratorium on data centers that we discussed just yesterday.