US stocks fell after profits in the technology sector fell, although Nvidia's earnings report gave a boost to market sentiment.
US jobs data also raised concerns about the outlook for the labor market.
The Nasdaq index closed at its lowest since September 11, while the S&P 500 index closed at its lowest level since September 10.
In addition, the Cboe Volatility Index recorded its highest close since April 24.
Nvidia shares fell 3.2% after rising about 5% earlier in the session. Most chip-related companies also fell, while the semiconductor index fell 4.8%.
Investors are increasingly concerned about high valuations in the technology sector, especially as spending on artificial intelligence (AI) increases.
The S&P 500 index fell 1.56% to 6,538.76 points, the Dow Jones Industrial Average fell 0.84% to 45,752.26 points, while the technology-focused Nasdaq Composite dropped 2.15% to 22,078.05 points.
In other news, the NFP employment data for September released at 9:30 pm yesterday showed the US unemployment rate rose, although employers added more jobs than economists expected.
This situation has increased uncertainty about whether the Federal Reserve (Fed) will cut interest rates in December.
Argent Capital Management manager Jed Ellerbroek expected the market to rise based on Nvidia's earnings performance and doubts about AI investments, but Nvidia's report clearly eased most of those concerns.
Meanwhile, Nvidia, the world's most valuable company, expects fourth-quarter sales to exceed analysts' estimates and posted third-quarter results that exceeded expectations.
Trading volume on US exchanges was worth $21.45 billion, compared to an average of $19.94 billion over the full 20 trading days.
