Wall Street mostly falls as investors weigh AI valuations

Wall Street stocks were mostly lower early on 16 July as investors weighed slower US retail sales growth and concerns about high valuations for artificial intelligence-related shares.

About 15 minutes after trading began, the Dow Jones Industrial Average was up 0.2 percent at 52,751.45. The S&P 500 was down 0.4 percent at 7,543.96, and the Nasdaq Composite Index was down 0.8 percent at 26,051.43.

US retail sales rose 0.2 percent from the previous month, matching analysts' expectations but slowing from a 1.0 percent rise in May. Analysts cited in the report said the data still suggested solid underlying consumer demand because gasoline prices fell during the month.

Jack Ablin of Cresset Capital said markets were also uneasy about second-quarter earnings season because forecasts called for growth of more than 20 percent among S&P 500 companies. He also cited high artificial intelligence valuations as a concern, saying investors were trying to find their footing in AI.