Dow Drops 1.35% to 50,866.78 as Tech Sell-Off Accelerates

U.S. stocks closed sharply lower on June 5, reversing the prior session's record Dow close. After strong May jobs data triggered hawkish Fed bets and Broadcom's weak AI guidance sparked a Nasdaq plunge on June 4, selling intensified across growth sectors. The Dow fell 1.35%, S&P 500 lost 2.64%, and Nasdaq dropped 4.18%, while the VIX surged 40% to a one-month high of 21.57. Defensive names outperformed as investors rotated out of AI and semiconductor stocks amid heightened risk aversion.