Dow falls more than 600 points as oil climbs to its highest level since April; tech steadies after AI slide

US stocks fell on Thursday as another drop in artificial-intelligence-related shares weighed on markets around the world. The S&P 500 closed down 1.2%, its worst day since July, and the Nasdaq composite fell 2.6%. The Dow Jones Industrial Average edged up less than 0.1%.

AP reported that the losses were concentrated in technology stocks, while most other US stocks rose. Investors have been weighing concerns about the cost of building AI infrastructure.

Oil prices rose on concerns about the war with Iran. Brent crude, the international benchmark, climbed nearly 4% to about $113 a barrel, its highest level since May, and US crude closed above $99, according to NBC News.

In Europe, the Stoxx 600 index fell about 1%, Germany's DAX dropped 1.07% and France's CAC 40 lost 1.39%, according to the German news agency dpa.

Update, Friday morning: Brent crude gained 0.8% to $114.02 a barrel and US crude rose 1.1% to $100.60, the AP reported, the highest levels since May. Reuters reported that Houthi attacks on Saudi Arabia and reports that the US and Israel have drawn up plans for renewed strikes on Iran lifted oil prices. US stock futures were mixed, and Reuters said the 10-year Treasury yield had fallen back below 5% after Thursday's biggest one-day drop since March 2023. In Europe, Germany's DAX and Britain's FTSE 100 each fell 0.4% in early trading, according to the AP.

Update, Friday close (corrected Saturday with final figures): The Dow fell 652.82 points, or 1.23%, to 52,215.16, the S&P 500 lost 39.75 points, or 0.52%, to 7,623.68 and the Nasdaq composite slipped 53.52 points, or 0.21%, to 25,955.34, according to Reuters and CNBC. An earlier version of this update gave preliminary figures. For the week, the S&P 500 fell 0.5% and the Nasdaq lost 0.7%, while the Dow rose 0.4% for a third straight weekly gain, Reuters reported. Brent crude settled at $116.72 a barrel, up 3.14% and its highest close since April 29, and US crude settled at $103.27, Reuters reported. The energy sector closed at a record high, according to Reuters. Technology shares steadied after Thursday's selloff, while consumer staples and financial stocks led the declines. Brent crude rose above $116 a barrel and US crude climbed above $103, according to Yahoo Finance, which said higher fuel costs weighed on airline stocks. Reuters reported that AT&T and T-Mobile shares fell more than 6% after a report that SpaceX was seeking cell sites for a US wireless carrier, and that investors are looking ahead to earnings from Alphabet, Microsoft and Amazon and a Federal Reserve meeting next week.