US Stocks Plummet as Oil Prices, Treasury Yields Pressure Market

The US stock market started the day lower on Tuesday as concerns over inflation and rising Treasury yields weighed on investor sentiment.

The Dow Jones Industrial Average fell by 253 points, while the S&P 500 dropped 0.23% and the Nasdaq Composite declined 0.30%. The downturn was partly driven by uncertainty surrounding the demand for artificial intelligence, which has been a major driver of tech stocks in recent times.

Nvidia shares were an exception to this trend, rising around 1.12%, while other AI-linked stocks such as Advanced Micro Devices, Intel, and Micron Technology gained more than 1.6% in early trading.

The concerns over AI demand come as leading companies have called for a slower pace of model development due to safety concerns. However, the impact on corporate spending and computing infrastructure remains unclear.