Dow closes 600 points lower as AI doubts weigh ahead of Federal Reserve meeting
US stocks closed sharply lower, with the Dow Jones Industrial Average ending the session down about 600 points, as doubts over artificial intelligence valuations continued to weigh on sentiment and investors positioned themselves ahead of the Federal Reserve's policy meeting.
The decline reflects unease about the durability of the AI-driven rally that has powered US equities, with investors questioning whether the earnings and spending behind the technology justify current valuations. The sell-off was broad, though the source material does not specify which sectors or individual stocks led the move.
Attention now turns to the Federal Reserve's meeting, where policymakers will set the path for interest rates. Markets typically trade cautiously into such decisions, and the combination of AI scepticism and rate uncertainty appears to have prompted investors to reduce risk exposure.
The source material does not give the closing level of the Dow, the size of declines in other indices, or the specific triggers behind the AI concerns. It also does not indicate what action, if any, the Fed is expected to take.
