Nvidia (NASDAQ: NVDA) shares fell 3.5% on Tuesday, closing at $175.64, as tech stocks broadly pulled back following a recent rally. The chipmaker traded 183 million shares, just above its three-month average of 181 million, signaling a cooling of momentum after reaching record highs earlier this month.

Insatiable” AI demand and revenue opportunities from China are leading analysts to raise their price targets as Nvidia prepares to report earnings.

Nvidia stock has suffered its biggest drop in months amid a broader selloff in highly valued technology companies.

The sudden reversal shows how the hottest AI trade and top-performing stock of the year is colliding with a broader market rotation out of Big Tech.

Software stocks have been under pressure—and there may be more selling to come as highflying shares of Palantir finally succumb to gravity.

Palantir (PLTR) shares tumbled Tuesday afternoon, extending recent losses as a high-profile short seller fueled worries the stock could be overvalued after a strong run earlier this year. The shares were down 9% around $158 in recent trading.

Just four Big Tech stocks — Nvidia, Microsoft, Meta, and Broadcom — account for 60 percent of the benchmark index’s total returns so far this year, according to a new analysis from DataTrek Research. They’re also responsible for pushing headline valuation levels to dot-com bubble levels.

Follow all the latest U.S. market action for Tuesday here to see if stocks can shake of some summer torpor and reach fresh highs.