Wall Street Slides Sharply as Tariff Concerns and AI Uncertainty Weigh on Sentiment

U.S. equities fell sharply, with the Dow Jones Industrial Average dropping 809.59 points (-1.63%) to 48,816.38. The S&P 500 declined 81.02 points (-1.17%) to 6,828.49, while the Nasdaq lost 314.89 points (-1.38%) to 22,571.18.

The strong bearish pressure appears linked to renewed tariff concerns and rising uncertainty around AI-related disruptions. Investors are reassessing risk exposure amid fears that escalating trade tensions could impact corporate earnings, while questions around AI regulation and valuation sustainability add to volatility in technology stocks.

The broad-based decline suggests risk-off sentiment rather than isolated sector weakness. Momentum has shifted lower in the short term, and traders are closely watching whether selling pressure extends or stabilizes near key technical support levels

Dow Jones Industrial Average (INDU)

DJIA index down with strong bearish momentum, breaking below five prior candlestick low. It seems the bearish correction will continue now, with the trend line and EMA 100 as target. Traders will stay cautious and wait until the bearish movement lost momentum to start scaling back in long positions.

Kroger, Inc (KR)

KR share price’s bearish correction has reached the level near EMA 200, also 38.2%-50% Fibonacci Retracement level and show bullish reaction. If the share prices could maintain the bullish pressure, then we will have a bullish engulfing pattern. Traders could use the pattern to enter long positions with stop order below the pattern low. As the share prices has flipped above the EMA, it might be the start of new bullish trend.