Why SoundHound AI Stock Was Falling Today
Shares of SoundHound AI (NASDAQ: SOUN) were pulling back today in line with the broader market sell-off on a hotter-than-expected inflation reading. The high inflation report makes it less likely that the Federal Reserve will lower interest rates later this year, and high-priced, unprofitable, growth stocks are generally more sensitive to interest rates and inflation than the rest of the stock market.
Considering SoundHound's dramatic surge this year, this may be doubly true for the AI stock. As a result, the company's stock was down 7.1% as of 1:25 p.m. ET.
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Source Fool.com
