Nasdaq 100 slips as AI leaders urge slowdown
U.S. stocks were mixed Monday as AI hardware shares sold off and cyber names gained after weekend remarks from Anthropic, OpenAI and xAI leaders calling for a slower pace of model development. The 10-year Treasury yield briefly touched 5% and WTI crude rose 2.4% to $102.43.
Wall Street split in two on Monday, with money pouring out of the AI hardware complex and straight into security software after frontier-lab chief executives spent the weekend arguing that model development is moving too fast. The White House is defending the buildout while Anthropic’s Dario Amodei, OpenAI’s Sam Altman and xAI’s Elon Musk all signaled over the weekend that the pace should slow. ” That was enough to gut the AI hardware trade while handing the security complex its best session in months. Energy piled on.
97, extending last week’s surge after Saudi Arabia shut the East-West pipeline — the main workaround for the Strait of Hormuz — following drone damage, and after a planned Iran-Gulf meeting in Salalah was postponed. Bonds did the rest of the damage. The 10-year Treasury yield briefly topped 5% for the first time since 2023 on an intraday basis and sits at its highest closing level since 2007. Rate traders now put roughly an 89% probability on a 25-basis-point hike at the Federal Open Market Committee meeting, which would be the Fed’s first increase since 2023, with fresh economic projections due alongside the statement.
6. S. equity markets by midday Monday, the losses were shallow, but the dispersion was extreme. 74, down 53 points.
52, held down by the semiconductor complex. The damage was concentrated one rung down the stack. Micron Technology Inc. 7%, Advanced Micro Devices Inc.
6% and Broadcom Inc. 1%. 94. Gold — tracked by the SPDR Gold Shares (NYSE: GLD ) — offered no shelter.
8% month-to-date. 6%. 4%. 1%.
8%. The iShares Russell 2000 ETF (NYSE: IWM ) was flat. Cyber Stocks Rocket. 5%.
0%. 5%. Every one of the Russell 1000’s five best performers was a security name, and the catalyst was the same: the weekend AI-safety warnings reframed a more dangerous threat environment as a bigger security budget. SentinelOne Inc.
87 on no company-specific news, moving purely with the endpoint-security group. Zscaler Inc. 75, building on a Citi price-target raise to $205 from $175 on Sept. 8 and Wedbush’s Outperform coverage initiation on Sept.
11. CrowdStrike Holdings Inc. 77 — the cleanest expression of the trade given how directly its platform is sold against AI-driven attack tooling — while Palo Alto Networks Inc. 07.
SailPoint Inc. 90, moving instead as the identity-security proxy for agent-driven AI risk, alongside Okta Inc. 0% and Rubrik Inc. 4%.
The losers’ table was the mirror image, and only one name had a company-specific catalyst. Corning Inc. 64 after disclosing an equity distribution agreement with Goldman Sachs to sell up to $2 billion of common stock through an at-the-market program, a dilution risk landing on a stock that had run roughly 91% higher this year on AI infrastructure demand. The other four were pure de-rating.
MACOM Technology Solutions Holdings Inc. 73 and Coherent Corp. 90. Both are optical-interconnect suppliers whose multiples are levered directly to the pace of data-center buildout.
Teradyne Inc. 37, giving back part of a year-to-date run that had been among the largest in semiconductor testing. SiTime Corp. 39, with the timing-device maker trading as a high-multiple derivative of data-center unit growth.
The read-through extended beyond the top five: Semtech Corp. 0%, Astera Labs Inc. 7%. Monday’s Russell 1000 Top Gainers Name % change SentinelOne, Inc.
77% SailPoint, Inc. 43% Zscaler, Inc. 32% CrowdStrike Holdings, Inc. 01% Palo Alto Networks, Inc.
88% MACOM Technology Solutions Holdings, Inc. 34% Teradyne, Inc. 58% Coherent Corp. 98% Read Also: Anthropic's AI Warning Is 'Noise' in a 'Secular Bull Market:' Bank of America Says