Stock market today: Dow hits record high while Nasdaq, S&P 500 slide as Oracle earnings revive AI spending fears

Market Performance - The Dow Jones Industrial Average reached a record high, gaining 1% and trading above its previous closing record of 48,254.82, despite a pullback in tech stocks like Nvidia [2] - The Nasdaq Composite and S&P 500 experienced declines of 1% and 0.3%, respectively, following the Federal Reserve's interest rate cut [1] Company Earnings and Concerns - Oracle's earnings report raised concerns about AI spending, as the company missed cloud sales expectations and increased its data center spending by $15 billion, leading to a 16% drop in its shares [3] - The market reacted negatively to Oracle's results, highlighting worries about tech valuations, debt burdens, and the potential for AI investments to not yield expected returns [3] Federal Reserve Actions - The Federal Reserve voted to lower interest rates for the third time this year, indicating a gradual easing path ahead, with Chair Jerome Powell suggesting no rate hikes are anticipated for January [4] - Powell noted that inflation pressures are partly due to tariffs imposed under the previous administration, which are viewed as a "one-time" increase [5] Labor Market Indicators - Jobless claims rose significantly to 236,000, marking the largest increase since 2020, following a three-year low during the Thanksgiving week [6] - The upcoming November jobs report is expected to provide further insights into the labor market [6] Trade Deficit and Economic Indicators - The US trade deficit unexpectedly narrowed to its smallest level in over five years, driven by a surge in exports, which may indicate a boost to the economy in the third quarter [7] - Earnings reports from companies such as Broadcom, Costco, and Lululemon are anticipated, which may influence market sentiment [7]