Nasdaq Declines on Broad AI Stock Selloff

Nasdaq Composite fell 422.49 points (1.79%) to close at 23,169.62 on Tuesday, Feb. 3, 2026, erasing roughly $1.1 trillion in tech market value as AI-focused shares tumbled. The Nasdaq 100 lost 1.9% while the S&P 500 and Dow also retreated; PayPal plunged 17.33% and major chip and software names saw broad selling. The move reflects investor reassessment of SaaS economics amid adoption of open-source and agentic AI.