Investor sentiment took a hit on Tuesday as caution prevailed ahead of significant market events, including key tech earnings reports and the Federal Open Market Committee meeting.

The Nasdaq 100, heavily weighted with tech stocks, experienced the most significant decline among major U.S. indices, dropping 1.5%. Semiconductor stocks were particularly affected, withNvidia Corp.(NASDAQ:NVDA) plummeting over 6% to a two-month low, impacting the entire industry.

Consequently, theiShares Semiconductor ETF(NYSE:SOXX) fell nearly 3%, marking its sixth negative close in the last eight sessions.

The S&P 500 also dipped 0.8%, primarily due to its heavy tech exposure, while the Dow...