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The Wall Street sign is pictured at the New York Stock Exchange in the Manhattan borough of New York City, New York, U.S., March 9, 2020. REUTERS/Carlo Allegri

(New York, New York) – Wall Street fell sharply Tuesday as another selloff in artificial intelligence-linked stocks overwhelmed relief from lower oil prices.

The pullback hit major AI and chip names, dragging the Nasdaq lower and weighing on the S&P 500 even though many individual stocks outside the tech trade were firmer. Investors who chased the AI boom are now reassessing how much future growth is already priced into the sector.

The broader market is also dealing with a tougher interest-rate backdrop. A strong May jobs report and persistent inflation worries have reduced hopes for Federal Reserve cuts, while this week’s inflation reports could determine whether traders start taking rate-hike risks more seriously.

For New York investors and retirement savers, the message is that market leadership remains narrow. When AI leaders wobble, the indexes can slide even on a day when oil falls and other corners of the market look steadier.