US stocks close lower as tech sector slides

ISTANBUL

The US stock market finished Thursday with significant losses led by a sharp decline in the technology sector.

The Dow Jones Industrial Average fell 1.2%, or 592.58 points, to close at 48,908.72.

The Nasdaq declined 1.59%, or 363.99 points, to 22,540.59 and the S&P 500 dropped 1.23%, or 84.32 points, to 6,798.40.

The Volatility Index (VIX), also known as the "fear index,” rose 16.79% to 21.77 points.

Amazon shares posted a huge decline after the e-commerce giant revealed plans for aggressive capital expenditures in artificial intelligence.

Investors reacted negatively to the prospect of higher spending on AI infrastructure impacting short-term profitability.

The yield on the 10-year US Treasury note rose slightly to 4.15%.

The US dollar index gained 0.3% against a basket of major currencies.