Wall Street Highlights: S&P 500, Nasdaq Fall As AI Jitters Ease Bets On Fed Hikes

Wall Street shunned stocks as a technology rout and Middle East risks drove investors to the safety of bonds, reducing bets on another Federal Reserve rate hike in 2026. A nearly 7% plunge in chipmakers sent the Nasdaq 100 to its worst day since June. That was after Meta Platforms Inc.’s plans to boost capital spending reignited fears that tech firms will issue more debt to finance the artificial-intelligence buildout. The S&P 500 fell 1.2%. An oil rally also weighed on sentiment amid heightened supply fears. The rush for shelter spurred the biggest jump in Treasuries in over a year,…