Quantum Computing Stock QUBT: Why It Crashed (and Bounced Back)

The Drama This Week

Quantum computing stock (NASDAQ: QUBT) took a roller coaster ride—down 3.8% on the week while the broader market bled 2-2.7%. But here’s the plot twist: it was down double digits mid-week before staging a Friday comeback. Year-to-date? Already down 38%, yikes.

What Went Wrong

Two main culprits:

1. Rate Cut Jitters - Market was freaking out about the Fed’s December decision. Early in the week, odds looked grim. But then sentiment flipped—CME Group polling now shows a 69% probability of a December cut (vs. 44% the week before). Growth stocks like QUBT love lower rates, so investors rushed back in Friday.

2. AI Bubble Fears - After Nvidia’s solid Q3 report, traders initially bought back into speculative AI plays. Then reality hit: “Wait, are these valuations insane?” Sell-off ensued. QUBT got caught in the crossfire.

The Real Question

Fed rate moves will drive short-term price action, but the actual story is whether QUBT can deliver on its quantum-computing tech stack. That’s the long game.

Bottom line: This stock is a volatility machine until macro stabilizes and the company shows real tech progress.