US Markets Plunge: AI Tensions & Inflation Fears Drive Sharp Decline

• US stock markets experienced a significant decline on Friday, driven by growing concerns over Artificial Intelligence (AI) and higher-than-expected inflation data.
• Tech stocks faced continuous pressure, with investors questioning high valuations and future returns from massive AI investments; Nvidia shares fell 2.8%.
• Major indices like the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite all saw declines, potentially breaking the Dow Jones' nine-month winning streak.
• The US Producer Price Index (PPI) rose more than expected in January, fueling inflation fears, while uncertainty over tariffs also contributed to market volatility.
• UBS downgraded US equities to 'Neutral' due to high valuations; Dell Technologies surged 16.6% on AI server revenue expectations, while Zscaler dropped 14%.