Sharp Drops For AI Stocks Overwhelm Markets

NEW YORK (AP) — The latest shudder for AI stocks pulled markets lower around the world. The S&P 500 fell 1.2% Thursday for its worst day since July, while the Nasdaq composite tumbled 2.6%. The weakness for tech stocks was so overwhelming that it masked strength for the rest of the market, where the majority of U.S. stocks actually rose. The Dow Jones Industrial Average edged up less than 0.1%. AI stocks have been swinging on worries that their boom may be under threat because of high interest rates. Nervousness in the market helped pull Treasury yields sharply lower. Oil prices jumped on worries about the war with Iran.