US Stocks Drop a Fourth Day as Exit Out of AI Shares Continues
US stocks sank for a fourth straight day as weakness in AI-related stocks outweighed investor optimism about the potential for additional interest-rate cuts from the Federal Reserve.
The S&P 500 Index dropped 1.2% Wednesday, for its longest losing streak in a month, and fell below its average over the last 50 days, a key technical level. Nvidia Corp. and other AI stocks weighed on the benchmark. Information technology was the worst-performing of the 11 sectors in the market, followed by communications services.