US Stocks Slump Anew After Nvidia Results Fail to Quiet AI Angst

Stocks tumbled Thursday, wiping out earlier gains as AI darling Nvidia Corp.’s surprisingly strong earnings report failed to allay investor worries about lofty valuations.

The S&P 500 Index sank 1.6%. It surged as much as 1.4% in morning trading after Nvidia’s results late Wednesday seemed to at least briefly ease concerns around the risk of a bubble in AI shares. The American equities benchmark logged its biggest intraday reversal — at 3.6% — since the height of the tariff turmoil in April, according to data compiled by Bloomberg. The gauge has now fallen 5% from its most recent peak.