Stock Track | Dow Chemical Plummets 5.06% Intraday Following Announcement of AI-Driven Layoffs

Stock Track
Feb 06

Dow Chemical's stock experienced a sharp decline of 5.06% during Thursday's intraday trading session. The significant drop reflects negative investor sentiment following the company's recent operational announcements.

The movement appears to be a direct reaction to news that Dow Inc. triggered 4,701 layoffs in January, marking the worst month for the chemicals sector since 2016. The company explicitly cited AI-driven automation in its operations as a key factor behind the workforce reductions.

This development occurs within a broader context of corporate retrenchment, with U.S. employers announcing over 100,000 job cuts in January—the worst start to a year since 2009. Companies across various sectors are entering 2026 with caution, trimming costs, and bracing for slower economic growth, with AI emerging as a supporting driver of workforce reductions alongside broader market and economic conditions.

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