US stocks shed 1.5%, Dow Jones loses 670 points

US stocks fell at Thursday’s close as concerns widened over the negative impact of artificial intelligence on business models across multiple sectors, while investors turned cautious ahead of Friday’s consumer inflation reading.

The Dow Jones Industrial Average dropped 1.34%, or 669 points, to 49,451, after breaking the 50,000 mark late last week.

The broader S&P 500 declined 1.57%, or 108 points, to 6,832, while the Nasdaq Composite fell 2%, or 469 points, to 22,597.

As investors shunned technology shares, the S&P 500 utilities sub-index rose 1.63% to 459. Walmart gained 3.80% to $133.66, while Coca-Cola added 0.51% to $79.

In Europe, the Stoxx Europe 600 fell 0.49% to close at 618, after touching a record 625.9 intraday.

Britain’s FTSE 100 dropped 0.67% to 10,402. Germany’s DAX was flat at 24,852, while France’s CAC 40 rose 0.33% to 8,340.

In Japan, the Nikkei 225 closed steady at 57,639, while the broader Topix climbed 0.70% to a record 3,882.

Brent crude futures for April delivery fell 2.71%, or $1.88, to $67.52 a barrel. US WTI crude for March delivery declined 2.77%, or $1.79, to $62.84 a barrel.

April gold futures dropped 2.94%, or $150.10, to $4,948.40 per ounce.

What’s Driving Markets?

Fresh signs of labor market resilience emerged as weekly jobless claims fell by less than expected. At the same time, concerns over AI’s potential drag on some sectors prompted investors to favor more cyclical stocks, amid a strong growth outlook.