Stocks are under pressure again with the Nasdaq on pace for worst three-day slide since April: Live updates

U.S. equities fell for another day on Thursday as investors took a risk-off stance, leading popular trades in technology and bitcoin to unravel.

The S&P 500 and the Nasdaq Composite declined 1.3% and 1.7%, respectively. That move helped put tech-heavy Nasdaq on track for its largest three-day drop since April 21, 2025. The Dow Jones Industrial Average shed 606 points, or 1.2%.

Alphabet was the latest of the “Magnificent Seven” companies to report earnings results. The company projected a sharp increase in artificial intelligence spending that spooked some investors, calling for 2026 capital expenditures of up to $185 billion. Shares were last down 4%. Shares of Broadcom jumped 2% following news of Alphabet’s spending plans, offering some hope for the artificial intelligence trade as the market deciphers its winners and losers.

Alongside Alphabet, Qualcomm came under pressure, sliding 9% after posting a weaker-than-expected forecast because of a global memory shortage.

Elsewhere, the sell-off in the cryptocurrency market continued to gain steam, as bitcoin fell below $70,000 — which is considered a key support level. In the precious metals space, pressure on silver resumed. The metal’s prices snapping a two-day rebound and dropping as much as 16%. It had plummeted nearly 30% last Friday.

Adding to the downbeat sentiment, concerns surrounding labor market weakness grew after outplacement firm Challenger, Gray & Christmas reported that U.S. employers announced 108,435 layoffs in January, marking the highest January total since the global financial crisis. Also, initial jobless claims for the week ended Jan. 31 rose more than expected, according to the Labor Department.

On top of that, job openings in December fell to their lowest level since September 2020, the Bureau of Labor Statistics reported.

Wall Street is coming off a turbulent trading session, which saw a sell-off software and chip stocks that drove the S&P 500 to a second straight day of losses. Those stocks were pummeled as fears of AI disruption in the industry had investors rotating out of tech en masse and into other more attractively valued parts of the market.

“After three years of strong AI rallies fueled by capex expansion, investors are now rewarding AI spending only when it comes with strong revenue growth,” said Mark Haefele, chief investment officer at UBS Global Wealth Management. “With AI continuing to reshape industries, we think the latest sell-off is unlikely to be a one-off event.”