2026.02.2621:02:25UTC+00US Stocks Pressured by Semiconductor Shares

The S&P 500 fell 0.5% and the Nasdaq dropped 1.1% on Thursday, while the Dow managed a modest gain, as a sharp selloff in semiconductor stocks outweighed a rotation into defensive financial names following Nvidia’s latest earnings report. Nvidia slid 5.5% despite beating forecasts for both earnings and revenue, as investors grew wary about the sustainability of elevated capital spending on artificial intelligence. That concern weighed on the broader chip sector, with Applied Materials down 4.9% and Lam Research off 4.1%. By contrast, financials helped cushion the market’s losses, supported by a 0.9% rise in JPMorgan and a 2.5% advance in American Express. In software, Salesforce stood out, climbing 3.9% after topping profit expectations, though its cautious revenue guidance underscored ongoing worries about AI-driven disruption.