Wall St notches monthly declines on AI, tariff, geopolitical worries

Wall Street experienced monthly declines in May, driven by a confluence of concerns including stretched valuations in AI stocks, escalating trade tensions, and broader geopolitical instability. Investors are increasingly cautious about the sustainability of recent market rallies, which were significantly fueled by AI enthusiasm. The combined impact of these factors suggests a potential shift towards risk aversion, with market participants closely monitoring upcoming economic data and policy developments for clearer direction.