US stocks fell sharply on Thursday, as investor sentiment remains fragile amid continued uncertainty over tariffs and disappointing earnings reports. The S&P 500 lost 1.4%, the Nasdaq sank 1.8%, and the Dow Jones plunged about 500 points, reflecting widespread concerns across the market.
US stocks sink, tech shares plunge
Chip stocks were under heavy pressure, with Marvell Technology plunging almost 20% after issuing mixed first-quarter guidance, which weighed on the technology sector. Additionally, Alibaba unveiled a new generative AI model that it claims outperforms DeepSeek, further fueling concerns about China’s rapid advancements in the AI sector and its growing influence in emerging technologies.
The downturn spread to other major chipmakers, with Nvidia (-3.1%) and Broadcom (-6.3%) also trading lower, as investors remained cautious ahead of Broadcom’s quarterly earnings report set to be released after the closing bell. The technology sector was further rattled by the uncertainty around future regulations and competition from Chinese tech companies.
Financials and utilities drop most
Sectors such as consumer discretionary, financials, and utilities were also among the worst performers, reflecting the broad-based sell-off. Meanwhile, US tariffs on imports from Canada, Mexico, and China, along with retaliatory levies from Canada and China, continued to rattle markets, heightening concerns about the global trade environment. Investor uncertainty grew even more after the US delayed auto tariffs on Mexico and Canada by a month, prolonging concerns about trade disruptions and their potential impact on global supply chains. As trade tensions and earnings disappointments mount, market participants are left grappling with heightened volatility and a lack of clear direction in the near term.
