US markets opened on a mixed note Tuesday, with the Dow Jones holding modest gains while the Nasdaq retreated as pressure on technology shares offset strength in defensive names and select consumer stocks.By 9:59 am ET, the Dow Jones Industrial Average was up 57.59 points, or 0.12 per cent, at 49,225.38. The S&P 500 slipped 33.41 points, or 0.47 per cent, to 7,140.50, while the Nasdaq Composite lost 196.43 points, or 0.79 per cent, Reuters reported.The sharpest drag came from technology counters after a Wall Street Journal report said OpenAI had fallen short of internal targets for weekly users and revenue. The update triggered fresh questions over whether the AI-led market rally can sustain itself amid massive spending on chips, cloud infrastructure and data centres.Because AI-linked companies have driven much of Wall Street’s recent gains, any sign of slowing momentum quickly weighed on sentiment.Oracle dropped 2.9 per cent as investors reassessed growth expectations tied to cloud demand and AI partnerships.Semiconductor shares also came under pressure. Nvidia fell 2.4 per cent, AMD declined 3.5 per cent and Arm Holdings slid 6.3 per cent. CoreWeave, backed by Nvidia, lost 2 per cent.The information technology segment of the S&P 500 fell 1.3 per cent, making it the worst-performing major sector in early trade.Apart from AI concerns, investors remained cautious over the US-Iran war and continued disruption in the Strait of Hormuz, a key artery for global crude shipments.Oil prices remained elevated, with Brent crude moving above $110 a barrel for the first time in three weeks. Prices are now around 53 per cent higher than levels seen before the conflict intensified.A US official said President Donald Trump was dissatisfied with Iran’s latest proposal to resolve the conflict, reducing hopes of a near-term diplomatic breakthrough.Higher oil prices are fuelling worries that inflationary pressures could return and squeeze corporate margins.Adding another layer of uncertainty, the United Arab Emirates announced it would leave OPEC and OPEC+, a move that could alter future supply dynamics in the global crude market.Corporate results also shaped early moves on Wall Street. United Parcel Service fell 5.7 per cent after reporting a steep drop in quarterly adjusted profit.General Motors lost 3 per cent even after raising its full-year earnings outlook, supported by resilient demand in the US auto market and expected tariff refunds.Coca-Cola rose 5.5 per cent after lifting its annual adjusted profit forecast, helped by pricing power and stable demand.Declining shares outpaced gainers by 1.49-to-1 on the NYSE and 1.48-to-1 on the Nasdaq, reflecting broad weakness beneath the headline indices. The S&P 500 registered three fresh 52-week highs and six lows, while the Nasdaq Composite recorded 58 new highs and 47 new lows.
