The S&P 500 and the Dow boasted record closing highs today after a Federal Reserve policy update that was less hawkish than expected, while the tech-heavy Nasdaq underperformed as Oracle’s financial update made investors wary of artificial intelligence bets.

Oracle shares tumbled 10.8% in their biggest one-day drop since late January and they were the top S&P 500 decliner after the company’s quarterly forecasts fell short of analysts’ estimates. It had also warned that annual spending would run $15 billion higher than previously planned, stoking fears about its big push into AI. The cost of insuring Oracle debt against default surged as investors feared that the company’s heavy reliance on debt financing could be part of an AI bubble similar to the dotcom bust of the early 2000s.

While O

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