Dow Plunges 800 Points Amid Market Reversal, AI Chips and Oil Stocks Lead Recovery

Mar 05, 2026 16:25 UTC

^DJI, CIEN, XOM, CVX, NVDA, CL=F, ^VIX

The Dow Jones Industrial Average dropped 800 points in a sharp intraday selloff, reflecting heightened risk aversion. Meanwhile, shares of NVDA surged while energy giants XOM and CVX gained, and Ciena (CIEN) faced a steep decline.

The U.S. equity markets opened with intense volatility as the Dow Jones Industrial Average slid 800 points, marking one of the largest single-day drops in recent months. The sell-off was broad-based, with major indices reflecting growing investor anxiety. The S&P 500 and Nasdaq also declined, though the latter showed signs of resilience as technology stocks began to rebound. The selloff coincided with a flight to safety and a shift in sector leadership. Energy stocks emerged as a notable bright spot, with ExxonMobil (XOM) and Chevron (CVX) posting gains of 3.2% and 2.9%, respectively. Crude oil futures (CL=F) rose 2.1% to $78.40 per barrel, signaling renewed confidence in energy demand and supply dynamics. In contrast, Ciena Corporation (CIEN) plunged nearly 18% after reporting weaker-than-expected guidance for fiscal Q2, citing delays in network infrastructure spending. The stock’s sharp decline contributed to tech sector weakness, though the broader technology group saw a partial recovery as Nvidia (NVDA) surged 6.4% on strong earnings and continued demand for AI-driven data center chips. The VIX index, a key measure of market volatility, spiked to 29.8, its highest level in over two months, indicating elevated uncertainty. Investors are closely monitoring macroeconomic indicators, including inflation data and Federal Reserve policy signals, amid expectations of a potential rate pause later this quarter.