Mumbai, Feb. 2 -- The tech-heavy Nasdaq led the way lower, slumping 223.30 points (0.9%) to 23,461.82 while the Dow slid 179.09 points (0.4%) to 48,892.47 and the S&P 500 fell 29.98 points (0.4%) to 6,939.03.

Wall Street closed lower as renewed inflation worries weighed on sentiment following a stronger-than-expected rise in producer prices. The Labor Department reported that the producer price index for final demand surged 0.5% in December after a 0.2% rise in November while annual growth held steady at 3%, defying expectations for a slowdown to 2.7%.

Market sentiment was further dented by fresh tariff threats from President Donald Trump, including a proposed 50% levy on Canadian aircraft and new penalties on goods from nations supplyi...