01:58 PM EDT, 03/27/2025 (MT Newswires) -- Tech stocks were in the red Thursday afternoon, with the Technology Select Sector SPDR Fund (XLK) shedding 1% and the SPDR S&P Semiconductor ETF (XSD) dropping 2.5%.

The Philadelphia Semiconductor index fell 2.5%.

In corporate news, Kyndryl ( KD ) shares fell nearly 10% after short-seller Gotham City Research alleged that the company manipulates adjusted earnings before interest, taxes, depreciation and amortization and adjusted free cash flow. A Kyndryl ( KD ) spokesperson told MT Newswires that the company's accounting and disclosures are correct and accurate.

Nvidia ( NVDA )-backed (NVDA) CoreWeave plans to cut its initial public offering to about $1.5 billion, down from a previous target of up to $2.7 billion, according to media reports. Separately, Nvidia ( NVDA ) plans to anchor CoreWeave's IPO at $40 a share with a $250 million order, CNBC reported. Nvidia ( NVDA ) shares were down 1.6%.

Microsoft ( MSFT )-backed (MSFT) OpenAI is nearing a $40 billion funding round led by Japan's SoftBank, Bloomberg reported. Microsoft ( MSFT ) shares were fractionally lower.