Wall Street opens lower as tech sell-off deepens on Fed and AI spending fears

Investors are weighing persistent monetary policy uncertainty against concerns over the sustainability of artificial intelligence capital expenditures, extending losses from Monday's session.

By Handelsavisen Newsroom · Automated 2026-06-23 13:59 UTC · 1 min read

US equity markets opened lower on Tuesday, with broad-based selling in the technology sector leading the decline.

The Nasdaq Composite and Dow Jones Industrial Average both slipped at the open, continuing a downturn that saw the tech-heavy Nasdaq fall 1.32% to 26,166.60 on Monday.

4% in the previous session, while the Dow managed a modest 0.

The S&P 500 also retreated, dropping 0.4% in the previous session, while the Dow managed a modest 0.3% gain before joining the broader sell-off.

The renewed pressure stems from growing investor caution regarding the Federal Reserve's monetary policy trajectory.

Markets remain sensitive to signals that interest rates may stay higher for longer, dampening sentiment for growth-oriented assets.

This policy uncertainty is compounding existing worries about the valuation of mega-cap technology stocks, which have faced scrutiny over their reliance on massive capital expenditures for artificial intelligence infrastructure.