Business · India Bureau
US Tech Stocks Tumble on AI Growth Concerns, Nvidia Slides
Major US stock indices fell sharply as investor concerns about slowing artificial intelligence development rattled markets. Technology giants including Nvidia and Intel faced significant selling pressure in the sell-off.
LSN India ·
Wall Street experienced a pronounced downturn as concerns over cooling artificial intelligence momentum prompted broad-based selling across technology stocks. The Nasdaq Composite declined 305.17 points, or 1.05 per cent, closing at 29,060.42, while the S&P 500 fell 0.54 per cent to 7,615.51. The Dow Jones Industrial Average proved more resilient, dropping just 0.2 per cent to 52,475.25.
The sell-off was predominantly concentrated in the technology sector, where major semiconductor and AI-focused companies bore the brunt of investor repositioning. Nvidia and Intel, both bellwethers of the artificial intelligence boom, traded lower as market participants reassessed growth expectations in the sector that has driven much of the market's recent gains.
The downturn reflects growing caution among investors regarding the pace of AI adoption and returns on massive capital deployments in the space. Analysts noted that the pullback comes amid broader questions about whether artificial intelligence developments can sustain the robust growth valuations that have underpinned tech sector rallies. The broader market remains sensitive to any signals suggesting deceleration in AI-related investment and revenue growth.