Different sectors of the US stock market diverged on Thursday as fresh selling for the heavyweight tech sector weighed against support from short-dated rates.
The S&P 500 dropped 0.4% and the Nasdaq 100 slipped more than 2%.
Stocks in the AI trade tanked as markets continued to gauge for signs that the sector is overbought.
The latest catalysts included reports that OpenAI started discussions about selling a 5% stake to the US government.
Also, Meta (-5%) announced it may start selling excess compute capacity, a sign that its capital expenditures were overdone.
Micron lost 7%, Marvell and Applied Materials dropped 10%, and Sandisk sank 13%.
Tesla fell 8% despite a strong deliveries report.
Still, the Dow rose 300 points to another record high amid strength on traditional sectors.
Yields pulled back on a soft jobs report, pushing back expectations of a Fed hike.
Apple gained 5%, while Visa and Walmart rose over 2%.