The S&P 500 (^GSPC 0.54%) fell 0.54% to 6,908.86 and the Nasdaq Composite (^IXIC 1.18%) dropped 1.18% to 22,878.38 as AI jitters weighed on tech. The Dow Jones Industrial Average (^DJI +0.03%) inched up 0.03% to 49,499.20, reflecting its lower tech weight.

Market movers

Chip bellwether Nvidia (NVDA 5.55%) slumped despite posting another earnings beat after market close yesterday. Other tech giants, Alphabet (GOOG 1.88%), Amazon (AMZN 1.31%), and Apple (AAPL 0.47%) also lost ground today.

Industrial contractor EMCOR Group (EME 6.94%) fell on 2026 outlook concerns in spite of solid earnings. Eos Energy (EOSE 39.44%) plummeted almost 40% after it missed revenue estimates.

What this means for investors

Yesterday, Nvidia soared in after-hours trading after its earnings beat analyst expectations. Today, however, skepticism took hold as investors questioned its ability to sustain such elevated growth. Investor nerves and potential profit-taking contributed to its largest decline in a single day since April 2025.

The megacap’s dominance is such that when it sneezes, tech-heavy markets catch a cold. The majority of stocks in the S&P 500 posted gains today, but that was outweighed by Nvidia’s significant drop.

Investors’ growing uncertainty around AI is playing out in other areas, too. AI nerves mean they continue to rotate out of sectors providing services that could be replaced by automation. While some concerns are justified, these rolling selloffs could also present opportunities.