Bad news often comes in threes. This week, it appears to be arriving by the dozen. U.S. regional banks, trade tensions with China, a government shutdown, falling oil prices and a fresh semiconductor scare have all conspired to rattle investors' nerves. Wall Street's fear gauge has surged to its highest level in more than five months, and equity futures are sinking accordingly. The recent rally, fueled by artificial intelligence optimism and hopes of interest-rate cuts, is looking increasingly like a sandcastle meeting the tide.

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