The Dow dropped more than 600 points at one point in the session as it dipped below the 46,000 level, but blue chips cut losses to 0.8%, or around 350 points in recent action. Home Depot HD and Amazon AMZN lagged the Dow with drops of 4.8% and more than 3%, respectively. Microsoft was down 2.7%, while Nvidia lost 1.7%.

Stocks closed markedly lower on Tuesday as fears of a bubble in artificial intelligence technology hammered markets for a fourth consecutive trading day.

U.S. stocks were mixed in afternoon trade, with the Dow Jones Industrial Average giving all of its morning gains. "Animal spirits" only briefly returned to Wall Street this morning with technology stocks turning sharply higher ahead of Nvidia Corp earnings.

Major stock indexes ended sharply lower to begin the week, which will see AI darling Nvidia and retail giants report quarterly results, as well as the release of the September jobs report delayed because of the U.

Fears that American companies have been overspending on AI, with some already shelling out billions of dollars, have rocked markets over the past two weeks.

American Express Co., which disclosed an increase in its consumer net write-off rate for October, is topping the list as the biggest loser within the Dow Jones Industrial Average on Monday. Its share price was down by about $16.

The Dow Jones Industrial Average posted a record high upon closing on Tuesday, while the Nasdaq Composite finished down as investors sold tech stocks.

The Dow Jones Industrial Average reached another record even as drops elsewhere in the market kept other indexes in check

Investors drove the Dow to back-to-back record gains shrugging off concerns about an AI bubble and the lack of economic data tied to the government shutdown.

Doubts about a potential third Federal Reserve rate in December triggered an 800-point drop in the Dow Jones Industrial Average on Thursday.