Stock market today: S&P 500, Nasdaq snap 2-week win streak as AI jitters pressure tech

💡 The S&P 500 and Nasdaq Composite indices snapped their two-week winning streak as AI-related stocks declined.

The S&P 500 and Nasdaq Composite indices snapped their two-week winning streak, weighed down by technology stocks amid growing concerns over AI-related risks. The S&P 500 fell 0.8% to 3,942.85, while the Nasdaq Composite declined 1.2% to 11,646.15.

AI Fears Weigh on Tech Stocks

Technology stocks, which have been among the biggest winners in the current bull market, led the decline. $NVDA fell 4.5% as investors grew increasingly cautious about the AI sector. The stock's decline was exacerbated by weak guidance from several technology companies, which raised concerns about the health of the tech industry.

Interest Rates in Focus

Meanwhile, investors are keeping a close eye on interest rates, which remain a key factor in the market's performance. The Federal Reserve has signaled that it will continue to raise interest rates to combat inflation, which has been running above the central bank's target. This has led to a flight to safety, with investors seeking out lower-risk assets such as government bonds.

What It Means for Investors