US equities saw sharp declines, with the Dow Jones falling 500 points and the S&P 500 and Nasdaq both dropping over 1% as investors reassessed rate-cut expectations amid renewed selling in major technology names. Market sentiment weakened after cautious commentary from Federal Reserve officials dampened hopes of near-term policy easing. Elevated bond yields and concerns over stretched valuations added further pressure, prompting a broad risk-off move. Traders remained focused on upcoming inflation data and key macroeconomic indicators expected to shape rate projections.