US stocks fall as AI rally faces reality check

Wall Street suffered a sharp sell-off as investors questioned whether the artificial intelligence boom that drove stocks higher has gone too far. The drop hit technology companies hardest, sparking a wave of selling that spread to global markets. The sell-off ended a nearly three-month surge in riskier assets, fueled by fears that stock prices have become too high. The S&P 500 fell 1.4 percent. The index had posted 11 weekly gains out of the last 12, led mostly by tech stocks. The Dow Jones also declined, as the broader market reacted to growing doubts about the sustainability of the AI-driven rally.