Nasdaq Stocks Could Crash 30% If This Happens, Experts Warn

WisdomTree’s Jeremy Siegel warned that the Nasdaq Composite could fall by as much as 30%, with the risk increasing if spending on artificial intelligence fails to produce expected returns. The warning came on the 39th anniversary of Black Monday as markets assessed whether AI can regain momentum. The index is heavily weighted toward AI-linked technology stocks, so changes in that theme can move it broadly. The Nasdaq Composite closed Friday at 26,140 after a 2.15% drop, its worst week since June and a decline of roughly 4.5%, before rising 1.11% to 26,430.89 on Monday. Meta Platforms and Tesla earnings are due soon, and investors are watching whether AI spending translates into revenue growth.