Nasdaq drops 2.1% as AI worries hit tech stocks

The Nasdaq composite fell 2.1% on Friday, marking its worst week since June. The S&P 500 lost 1.1% and the Dow Jones Industrial Average dropped 0.3%. Declines in major technology companies weighed on the broader market as concerns grew about the sustainability of the artificial intelligence buildout.

Chipmakers led the losses, with Micron Technology down 5.6% and Intel losing 5.8%. In contrast, European and Asian markets closed higher.

Friday's closing levels showed the S&P 500 at 7,659.44, down 84.62 points. The Dow Jones Industrial Average closed at 52,002.41, a decrease of 175.28 points. The Nasdaq composite ended at 26,140.03, falling 572.99 points. The Russell 2000 index of smaller companies closed at 2,721.37, down 45.90 points.

For the week ending Friday, the S&P 500 was down 152.10 points, or 1.9%. The Dow gained 347.46 points, or 0.7%, while the Nasdaq lost 1,226.14 points, or 4.5%. The Russell 2000 declined 85.61 points, or 3%.

Year-to-date performance remains positive across major benchmarks. The S&P 500 is up 813.94 points, or 11.9%. The Dow Jones Industrial Average is up 3,939.12 points, or 8.2%. The Nasdaq composite leads the group with a gain of 2,898.04 points, or 12.5%. The Russell 2000 is up 239.46 points, or 9.6%.