S&P 500: Is The Market Finally Questioning the AI Spending Trade?

The S&P 500 finished flat as the market rotates between mega-cap tech and semiconductor stocks. Apple's announcement of price hikes signals that AI hardware costs are squeezing margins, raising questions about whether major AI capex spenders will scale back spending. The software-to-hardware ratio (IGV/SMH) shows hardware currently winning, while the financial sector shows potential bear pennant formation.