S&P500 and Nasdaq 100: Tech Stocks Lead a Steep Selloff as Hot PPI Hits US Stocks Today

Group 1: Tech Stock Performance - Tech stocks have declined for a second consecutive day, with Nvidia shares dropping 2% following a previous 5% decline, raising concerns about their $30 billion investment in OpenAI and the sustainability of hyperscalers' capital spending for AI [1] - Amazon shares, which invested $50 billion in OpenAI, also experienced a drop in share price, indicating a shift in market sentiment from bullish to bearish for these tech stocks [2] Group 2: Software Sector Challenges - Major software companies are projected to finish February with significant financial losses, with Salesforce falling over 4% and Microsoft down nearly 2%, while Zscaler and CoreWeave reported disappointing outlooks with losses of 11% and 16% respectively [3] - The iShares Expanded Tech-Software ETF is down 10% for the month, leading to year-to-date losses of 23%, and the Nasdaq composite index is experiencing its worst month since last March with an overall decline of over 3% [3] Group 3: Broader Economic Concerns - The decline in share values is not limited to the tech sector, as financial and other sectors are also affected by fears regarding AI's potential impact on jobs and the economy, highlighted by Block, Inc.'s announcement of laying off over 4,000 workers [4] - As of late February, the S&P 500 is down more than 1% for the month, while the Dow Jones has only increased by 0.3%, marking a disappointing end to what was expected to be a strong year [4]