US equities declined sharply as major AI-linked stocks faced intense selling pressure following reduced expectations for near-term monetary easing by the Federal Reserve. Nvidia, Palantir, and Broadcom recorded steep intraday losses as investors reassessed valuations tied to growth-sensitive sectors. The S&P 500 fell around 1.5 percent while the Nasdaq slid nearly 1.9 percent, reflecting widespread weakness in technology shares. Disney dropped close to eight percent amid cautious sentiment. Market strategists highlighted elevated treasury yields and shifting rate outlooks as primary drivers of the risk-off move.