US Markets Today: Dow ends 600 pts lower as AI doubts persist ahead of Fed meet

The Nasdaq Composite slipped 0.21% to 25,955.34.US MarketsPowered ByAs on 24 Oct 2026, 01:30 AM ISTS&P 500 Top GainersCrown Castle86.03(9.13%)CrowdStrike Holdings257.57(8.25%)Palo Alto Networks380.55(7.22%)SLB53.06(7.07%)Gainers»S&P 500 Top LosersLKQ17.42(-22.47%)Coterra Energy32.56(-8.62%)Globe Life154.75(-8.11%)AT&T20.93(-7.96%)Losers»AI trade remains under scrutinyThe moves came after a turbulent week for the market's AI trade, with investors questioning whether the huge spending planned for data centres can continue at the pace previously expected."There is still fallout from the questioning of the AI trade," said Kristina Hooper, chief market strategist at Man Group.

"There's certainly the potential that we see less invested in an AI data center build out next year than has been projected. So I certainly think that's giving pause."That caution is set to carry into next week, when about one third of S&P 500 companies are scheduled to report quarterly results. Alphabet, Microsoft and Amazon are among the major AI hyperscalers reporting, with their capital spending plans likely to remain a key focus for investors.Live EventsTelecom stocks fall, energy hits recordTelecommunications stocks came under pressure after a report that SpaceX was seeking thousands of cell sites for a fourth wireless carrier, weighing on the communication services sector, Reuters reported.The energy sector moved in the opposite direction, reaching a record high as oil prices climbed.

Brent crude hit its highest level since late April after Houthi attacks in Saudi Arabia raised concerns about further disruption to energy supplies from the Middle East.Meanwhile, US consumer sentiment edged lower in October, nearing a record low, as rising prices linked to the Middle East conflict weighed on households' views of the economy, according to University of Michigan data cited by Reuters.Investors now turn to earnings and monetary policy.

S&P 500 companies are on track to report more than 32% growth in third quarter earnings, according to LSEG IBES data. The Fed is expected to hold rates steady on Wednesday, with investors looking for clues on the possibility of a December rate hike. Wall Street is also watching the November 3 midterm elections, which will determine control of Congress. (Disclaimer: This article is based on inputs from agencies. These do not represent the views of The Economic Times)(You can now subscribe to our ETMarkets WhatsApp channel)