Dow Jones and Nasdaq 100 fall as earnings season tests AI sector

The Dow Jones and Nasdaq 100 indices fell this week amid persistent concerns about the artificial intelligence sector, with the Nasdaq 100 dropping to its lowest level since September 16 and the Dow Jones declining from its yearly record. Earnings season is the main market catalyst, with major "Magnificent Seven" companies like Microsoft, Amazon, and Apple reporting results that will signal whether AI investments are generating revenue. The Federal Reserve is also expected to hold interest rates steady between 3.75% and 4% on Wednesday. Oil prices have surged, with Brent trading at $117 and WTI at $103, as investors anticipate potential US strikes on Iran. Analysts warn of a growing gap between AI spending and actual revenue, with Gartner predicting multi-billion-dollar write-downs in coming years.