Wall Street drops as AI companies face pressure

U.S. stock indexes declined on Tuesday as uncertainty over artificial intelligence company valuations weighed on the sector.

Markets continue to monitor the flow of third-quarter 2025 corporate earnings, with companies such as Uber and Pfizer releasing their results today.

Federal Reserve officials Mary Daly and Lisa Cook stated that a potential interest rate cut at the December meeting remains on the table.

Investors are awaiting the ADP private-sector employment data on Wednesday, while the ongoing government shutdown has delayed the release of key economic indicators.

The monthly nonfarm payrolls report and the Fed’s preferred inflation gauge are also scheduled for release on Friday, though publication could be postponed due to the shutdown.

As of 16:51 GMT, the Dow Jones Industrial Average fell 0.4% (or 185 points) to 47,152, the S&P 500 dropped 0.8% (or 56 points) to 6,796, while the Nasdaq Composite declined 1.4% (or 320 points) to 23,515.