US stocks close lower as technology sector weighs on markets

US stocks declined at the close of trading on Tuesday, as risk appetite waned amid volatility in cryptocurrency markets and as investors continued to steer clear of the technology sector.

At the close, the Dow Jones Industrial Average fell 0.34%, or 166 points, to 49,240, after touching a record high earlier in the session at 49,653.13.

The broader S&P 500 declined 0.84%, or 58 points, to 6,917, while the Nasdaq Composite dropped 1.43%, or 336 points, to 23,255.

The technology sector came under pressure, with shares of Meta Platforms falling 2.10% to $691.74, Nvidia down 2.84% to $180.34, ServiceNow sliding 6.97% to $109.77, and Salesforce retreating 6.85% to $196.38.

Across the Atlantic, the STOXX Europe 600 rose 0.10% to 617.93, marking a record close as the banking sector gained 0.85%.

UK’s FTSE 100 fell 0.25% to 10,314, while Germany’s DAX was flat at 24,780 and France’s CAC 40 was unchanged at 8,179.

In Japan, the Nikkei 225 jumped 3.9% to close at a record 54,720, its best daily performance since Oct. 25, while the broader Topix surged 3.1% to 3,645.

In oil markets, Brent crude futures for April delivery rose 1.55%, or $1.03, to $67.33 a barrel.

US Nymex crude futures for March delivery also climbed 1.72%, or $1.07, to $63.21 a barrel.

As for gold, futures for April delivery surged 6.10%, or $282.40, to $4,935 an ounce, marking the largest daily gain since March 19, 2009.

What’s driving the markets?

Investors continued to steer clear of the technology sector as the earnings season unfolds amid lingering concerns over an AI bubble, alongside ongoing turmoil in the cryptocurrency sector, weighing on overall performance on Wall Street.