US stock market slipped sharply Thursday as investors pulled back from tech-heavy positions amid renewed concerns over stretched AI valuations and weak job data. The Nasdaq dropped 1.9%, the S&P 500 lost 1.1%, and the Dow Jones Industrial Average slipped 0.8%, breaking Wednesday’s short-lived rebound and marking another volatile day during the 36th day of the US government shutdown. The sell-off hit large-cap tech stocks hardest, as Palantir sank 6.8%, Nvidia fell 3.7%, and Amazon lost 2.9%, wiping billions from market value. Analysts said the AI rally that drove markets for months is facing fatigue, with earnings not matching sky-high expectations.
Market sentiment turned cautious after data from Challenger, Gray & Christmas showed US employers announced 153,074 job cuts in October, the most for that month since 2003. Investors worried that the labor market, one of the economy’s few strong points, might be showing cracks. With…
