Nasdaq, S&P 500 fall as AI caution weighs on tech, Nvidia results in focus
Nasdaq Composite fell more than 1% on Monday, with big technology stocks creating the biggest drag as investors worried about demand for technology supporting artificial intelligence while they waited for results from market heavyweight Nvidia.
The S&P 500 closed slightly lower, marking its third straight day of declines, while the Dow managed to eke out a tiny gain. It was also Nasdaq's third consecutive loss and its fourth daily drop of more than 1% so far in February.
Investors were concerned about future demand for Nvidia's pricey AI chips as they awaited its quarterly results on Wednesday. Worries about hefty spending on the technology have mounted since low-cost AI models from China's DeepSeek rattled the industry in January.
Adding to uncertainty, a TD Cowen analyst note published late on Friday reported that Microsoft Corp has scrapped leases for sizeable data center capacity in the U.S., suggesting a potential oversupply of AI infrastructure.
Microsoft said its plan to invest over $80 billion in AI and cloud capacity this fiscal year was intact but that it «may strategically pace or adjust» infrastructure in some areas.
Stock Trading
Maximise Returns by Investing in the Right Companies
By — The Economic Times, Get Certified By India's Top Business News Brand
Stock Trading
Renko Chart Patterns Made Easy
By — Kaushik Akiwatkar, Derivative Trader and Investor
Stock Trading
Candlesticks Made Easy: Candlestick Pattern Course
By — elearnmarkets, Financial Education by StockEdge
Stock Trading
Dow Theory Made Easy
By
