S&P 500, Dow Jones, Nasdaq crash: Here are the stocks that took the biggest hit today

S&P 500 Dow Nasdaq down today: US stocks fell sharply Tuesday, with technology shares leading the sell-off after US president Trump escalated trade war threats toward Europe, rattling investor confidence during a holiday-shortened trading week.

S&P 500, Dow Jones Industrial Average slide as tech stocks sink

AI chipmakers were among the hardest hit. Nvidia (NVDA) and Broadcom (AVGO) dropped more than 3%, while Nvidia was trading down 3.31% at $179.94 by early afternoon, as per a report. Tesla (TSLA) and Amazon (AMZN) slid nearly 3%, and Meta (META), Alphabet (GOOGL), and Apple (AAPL) each fell close to 2%, as per a Yahoo Finance report.

Oracle (ORCL), described as an AI cloud provider with debt nearing junk-bond status, saw shares decline about 4%. Nvidia-backed emerging AI cloud firms also struggled, with Nebius (NBIS) falling more than 6% and CoreWeave (CRWV) down over 4%.


Also read: Micron stock price: Why MU shares are rising today and what's the new price target

Nasdaq today: Tech-heavy index leads market losses

The tech-heavy Nasdaq Composite (^IXIC) dropped 1.7%, dragging major indexes lower as investors reacted to Trump doubling down on threats involving Greenland and new tariffs on European nations ahead of the World Economic Forum in Davos.

Why is the market down today: S&P and Dow under pressure as AI bubble fears grow

The pullback reflected a rotation out of riskier assets and growing unease about a potential AI bubble. Despite optimism from TSMC last week, Bloomberg data shows the Magnificent Seven stocks are down more than 3% in January, even as the S&P 500 remains slightly positive, as per the Yahoo Finance report.

Also read: Intel stock today surges over 5% as analysts boost INTC stock price targets ahead of earnings

MarketWatch focus: Analysts split on stock market outlook

Analysts remain divided, with some citing heavy AI spending concerns, while others view the sell-off as a buying opportunity ahead of upcoming tech earnings.

Hedgeye Asset Management portfolio manager Sam Rahman said regarding the “massive underperformance” of large-cap tech stocks over the last several weeks, pointing out that, “There's been so much spending on AI-related capex … investors are clearly concerned about what returns they're gonna get from all the spending,” as quoted by Yahoo Finance.

While Wedbush analyst and tech bull Dan Ives pointed out Tuesday's pullback as a buying opportunity, saying in a note to clients, "The back and forth war of words between Trump and the EU will give investors another opportunity to own the tech winners and despite the bears always trying to yell fire in a crowded theater......the AI Revolution is still in the early days of playing out," as quoted by Yahoo Finance.

FAQs

Why is the stock market down today?
Markets fell after President Trump escalated trade war threats toward Europe, hurting investor confidence.

Are both the S&P 500 and Dow Jones down?
Yes. Both the S&P 500 and Dow Jones Industrial Average moved lower.