The Dow drops nearly 600 points as markets remain anxious about a potential rate cut

The Nasdaq Composite reached a new record on Thursday, boosted by Nvidia's better-than-expected quarterly results.

The tech-heavy Nasdaq climbed 0.3% to an all-time high, while the S&P 500 slipped 0.3%, retreating from its earlier peak. The Dow Jones Industrial Average performed poorly, dropping 472 points, or 1.2%, marking its worst day since April 30 as Intel and Boeing each fell over 2%.

The market as a whole declined, but chipmaker Nvidia surged by more than 11%, indicating a narrowing of the market.

Nvidia’s performance has been closely watched on Wall Street, as traders look for indications that the enthusiasm around AI remains strong. With a market cap of $2.3 trillion, Nvidia significantly influences the S&P 500.

The S&P 500 and Nasdaq Composite, which started the day at new intraday highs, ultimately fell by 0.6% and 0.3%, respectively.