Wall Street Navigates AI Disruption and Economic Uncertainty Amid Tech Tumbles

Wall Street anticipated a quiet Monday after AI concerns led tech stocks to decline, as investors focused on economic data for Federal Reserve insights. Software stocks held steady, but chip firms like Nvidia were under pressure. Economic indicators and company earnings dominated the investor radar.

Wall Street indices faced a subdued start to the week as AI disruption concerns recently rattled technology stocks, prompting investor caution ahead of key economic data that could provide clarity on the Federal Reserve's future interest-rate decisions.

Recent financial reports from major tech companies, including Amazon and Google, highlighted increased spending, raising investor apprehensions over AI competition. Software stocks showed stability, but chipmakers like Nvidia and others signaled vulnerability amid looming earnings data.

Broader market movements reflect the cautious sentiment, with a focus on upcoming economic metrics, notably the delayed nonfarm payrolls report and consumer price index, both expected to influence Fed policy directions, while individual company actions, such as telehealth firm Hims & Hers retracting a product launch, stirred specific stock movements.

(With inputs from agencies.)