US Stocks Drop on Chipmaker Selloff
US equity indices closed lower on Monday, dragged down by a selloff in chipmakers. The S&P 500 fell 0.5% and the Nasdaq dropped 0.8%, while the Dow shed 152 points. Anthropic CEO Dario Amodei called for a slower pace of AI development to mitigate risks from increasingly capable models, with OpenAI and xAI CEOs Sam Altman and Elon Musk endorsing the view. The focus on AI risks dampened speculative demand for chipmakers and AI infrastructure companies. Nvidia fell 3.4%, Broadcom tumbled 4.8%, Micron retreated 5.2%, and Intel shed 5.6%. Lam Research sank 8.3% and GE Vernova slumped 8.6%. Meanwhile, the 10-year Treasury yield briefly surpassed 5% for the first time since 2023 as surging crude prices raised concerns over inflation ahead of Wednesday’s Fed decision. Markets widely expect a 25-bp hike. The rejection of talks with GCC states prolonged the halt in tanker flows from the region, pushing energy prices higher. Losses in banking and manufacturing stocks also pressured the Dow.
US equity indices closed lower on Monday, dragged down by a selloff in chipmakers. 8%, while the Dow shed 152 points. Anthropic CEO Dario Amodei called for a slower pace of AI development to mitigate risks from increasingly capable models, with OpenAI and xAI CEOs Sam Altman and Elon Musk endorsing the view. The focus on AI risks dampened speculative demand for chipmakers and AI infrastructure companies.
6%. 6%. Meanwhile, the 10-year Treasury yield briefly surpassed 5% for the first time since 2023 as surging crude prices raised concerns over inflation ahead of Wednesday’s Fed decision. Markets widely expect a 25-bp hike.
The rejection of talks with GCC states prolonged the halt in tanker flows from the region, pushing energy prices higher. Losses in banking and manufacturing stocks also pressured the Dow.