IGV is trading 1.8% down today as the Great AI Reshuffle prompts a rotation from general software to hardware winners amid decelerating growth and margin-eroding AI costs.
- Pre-market weakness aligns with a 1.1-1.4% drop in US futures triggered by Trump tariff turmoil and a Supreme Court ruling against emergency tariffs.
- Investors are pivoting away from the software sector as rising infrastructure expenses and slowing growth outlooks impact valuations.
- Broader tech sentiment remains under pressure following geopolitical tensions and Iranian threats targeting US technology firms.