U.S. equities fell Tuesday, deepening November’s pullback as investors trimmed exposure to mega-cap tech ahead of Nvidia’s results and braced for a long-delayed snapshot of the labor market.

At 09:32 ET (14:32 GMT), the Dow Jones Industrial Average slipped 527 pts (-1.1%), the S&P 500 fell 0.2%, and the NASDAQ Composite declined 0.4%. Before today, the S&P 500 was already down >2% month-to-date after six straight monthly gains, sitting >3% below its record; the Nasdaq is >5% off its peak.

AI bellwether in focus; Tech under pressure

Nvidia’s quarterly report Wednesday looms large for the AI trade after a three-year, capital-intensive surge in valuations. The sector’s weakness broadened as investors questioned the durability of AI-driven returns relative to the industry’s enormous spend.

Retail earnings mix: Home Depot misses on EPS

Earnings remain in full swing for big-box retail:

• Home Depot (HD): Q3 adjusted EPS missed despite revenue beat; FY2025 guide updated to ~3.0% total sales growth with slightly positive comps (52-week basis).
• Walmart (WMT) and Target (TGT) are due later this week.

Separately, Microsoft opens its developer conference in San Francisco, where markets will watch for detail on data-center buildout tied to AI demand.

Macro: September jobs finally on deck; December cut odds fade

A raft of U.S. indicators stalled by October’s government shutdown begins to trickle out, highlighted by September nonfarm payrolls on Thursday. The report lands just weeks before the Dec. 10–11 FOMC meeting.

• Fed Gov. Christopher Waller on Monday argued for a quarter-point cut to cushion labor-market risks.
• Even so, futures now imply just over 40% odds of a 25 bp cut in December (down from ~55% last week), with policymakers still “flying mostly blind” given the data gaps.

Market picture

• Risk tone: cautious, with continued rotation out of mega-cap tech.
• Catalysts ahead: Nvidia results, September NFP, and additional delayed releases that could reset growth and policy expectations into year-end.