US stocks steadied on Thursday, as investors regrouped after a Big Tech-led wipeout inspired by AI doubts.
The Dow Jones Industrial Average (^DJI) and the S&P 500 (^GSPC) both opened broadly flat, on the heels of Wednesday’s steep closing losses. The Nasdaq Composite (^IXIC) rose slightly, coming off the worst day for the tech-heavy index since October 2022.
Stocks are running into a wall as Wall Street starts to question when tech companies’ huge investments in AI will start to pay off. Unimpressive earnings from Alphabet (GOOGL, GOOG) and Tesla (TSLA) earlier in the week have dented hopes that Big Techs can live up to their AI-fueled sky-high valuations.
The fallout rippled through global stock markets, helped send Europe’s benchmark Stoxx 600 (^STOXX) down over 1%. Nikkei 225 (^N225) sank to a 3%-plus loss at the close, though a sudden yen (JPY/USD=X) gain also drove the Tokyo…
