Stocks closed markedly lower on Tuesday as fears of a bubble in artificial intelligence technology hammered markets for a fourth consecutive trading day.

The S&P 500 dipped 0.8% while the tech-heavy Nasdaq fell 1.1% as investors panicked over whether AI firms have been overvalued – extending a rocky tech rout into its third week.

Major stock indexes ended sharply lower to begin the week, which will see AI darling Nvidia and retail giants report quarterly results, as well as the release of the September jobs report delayed because of the U.

Stocks finished lower on Monday, with the Dow Jones Industrial Average and S&P 500 suffering their third straight day of losses.

AI pioneer Nvidia was again the heaviest weight on the market. The chipmaker's drop of 3.2% brought its loss for the month to nearly 11%, putting it in "correction" territory, or when a stock falls at least 10% from its previous high. The company is scheduled to report is third-quarter financial results on Wednesday.

Stock traders are cautious ahead of NVIDIA’s earnings report, which will be released tomorrow after market close.

Investors drove the Dow to back-to-back record gains shrugging off concerns about an AI bubble and the lack of economic data tied to the government shutdown.

This ETF is beating the Dow by a better than 5-to-1 margin this year -- and thanks to its AI intersections, the good times could continue in 2026.

US indices slipped after early strength, with the Nasdaq 100 and Dow Jones 30 hovering above key support zones and the S&P 500 struggling near 6,800. Despite short-term softness, broader uptrends remain intact across major benchmarks.

U.S. stock futures declined on Tuesday after Monday’s sell-off. Futures of major benchmark indices were lower.