Stock markets worldwide drop from records as worries about oil prices rattle the bond market

Trader Patrick Casey works on the floor of the New York Stock Exchange, Wednesday, May 13, 2026. (AP Photo/Richard Drew) 2026-05-15T05:21:53Z NEW YORK (AP) — The U.S. stock market is falling from its records Friday and joining a worldwide drop for stocks, as higher oil prices send a shiver through the bond market. Stocks that had been caught up in the euphoria around artificial-intelligence technology led the way lower. The S&P 500 fell 1.1% from its all-time high set the day before. The Dow Jones Industrial Average was down 518 points, or 1%, as of 12:04 p.m. Eastern time, and the Nasdaq Composite was down 1.4% from its own record. Technology stocks tumbled in a sharp turnaround from their meteoric rises for much of the year, which had carried markets worldwide to records but also raised criticism that they had gone too far. Nvidia, the stock that quickly became the face of the AI revolution, dropped 3.3% and was the heaviest weight on the S&P 500. It had come into the day with a gain of more than 26% for the year so far. Applied Materials fell 0.7% even though it reported stronger profit growth for the latest quarter than analysts expected, thanks to the global build out of AI. The company, whose products help make chips and displays, came into the day with a gain of more than 70% for the year so far. “To us, it looks like markets have pushed into overbought territory,” according to Brian Jacobsen, chief economic strategist at Annex Wealth Management. He said the strong corporate profits and durable U.S. economy that launched U.S. stocks to records remain intact, but “the path is unlikely to be smooth. Periods like this call for discipline more than hope.” (