Dow falls 500 points, S&P, Nasdaq plunge over 1% as valuation concerns, rate-cut jitters linger

Wall Street stocks declined Tuesday, with the Dow, S&P 500, and Nasdaq all falling amid tech sector worries and concerns about consumer spending strength. Valuation concerns for AI-linked stocks and a potential Federal Reserve rate hold impacted the market. Home Depot's missed earnings and lowered outlook further fueled fears of a discretionary spending slowdown.