Analysts now warn that heightened volatility across asset classes could persist for months.
The reassessment has played out through sharp declines across major benchmarks, led by a broad-based sell-off in technology shares as investors questioned valuations and weighed how AI could reshape business models over time.
In the US, the S&P 500 Index extended its third straight decline, closing 1.2 per cent lower on Thursday.
The tech-heavy Nasdaq 100 recorded its steepest three-day decline since April, dragged down by software stocks amid intensifying competitive pressures after AI firm Anthropic unveiled a new model aimed at financial research.
Beyond equities, the turbulence has spilled into other asset classes.