US Stock Market Highlights: Dow Jones crashes 500 pts, Nasdaq over 2.5% as AI cash burn fears spark tech selloff

US stocks faced a sharp decline as concerns about cash burn linked to artificial intelligence weighed on technology shares.

Dow and Nasdaq fall

The Dow Jones Industrial Average fell 500 points, while the Nasdaq dropped more than 2.5%. The declines came amid a broader selloff in technology stocks.

AI spending concerns weigh on technology

Fears over the amount of cash being consumed by artificial intelligence activity were identified as the trigger for the technology selloff. The market move placed AI-related spending concerns at the center of the session's losses.

The sharp declines marked a difficult session for major US stock indexes, with technology shares bearing the brunt of investor concerns over AI cash burn.