Nasdaq heads for correction as AI spending doubts hit tech stocks

The Nasdaq Composite Index fell 10 percent from its record close on Thursday, on pace to confirm a correction as concerns over AI spending and data-center expansion rattled tech stocks. The tech-heavy index slipped 3.2 percent to 24,796.06 points, down from its record-closing high of 27,599.89 reached on October 6. Thursday's decline erased all gains from the prior session, which had followed a Democrat sweep of both houses of Congress, as investors worried about increased scrutiny of further AI buildout. A 10 percent drop from a recent record close is widely defined as a correction. This would mark the second correction for the index this year.