US equity indices ended lower on Monday, weighed down by a broad selloff in chipmakers. The S&P 500 slipped 0.5%, the Nasdaq 100 declined 0.8%, and the Dow Jones Industrial Average lost 152 points. Sentiment toward AI-related names cooled after Anthropic CEO Dario Amodei called for slowing the pace of AI development to mitigate risks from increasingly powerful models—an appeal publicly supported by OpenAI’s Sam Altman and xAI’s Elon Musk. The heightened focus on AI risks curbed speculative demand for chipmakers and AI infrastructure stocks.
Nvidia fell 3.4%, Broadcom dropped 4.8%, Micron declined 5.2%, and Intel slid 5.6%. Among equipment and industrial names, Lam Research sank 8.3%, while GE Vernova slumped 8.6%.
In fixed income, the 10-year Treasury yield briefly moved above 5% for the first time since 2023, as surging crude prices stoked fresh inflation worries ahead of Wednesday’s Federal Reserve decision. Markets largely expect a 25-basis-point rate increase. The rejection of talks with GCC states extended the suspension of tanker flows from the region, further lifting energy prices. Additional losses in banking and manufacturing shares added pressure on the Dow.
