NEW YORK / RankWire.AI / – U.S. stock indexes finished the day lower on Monday, driven by significant declines in artificial intelligence shares and chip manufacturing stocks. The Dow Jones Industrial Average decreased by 152.09 points, or 0.3%, to close at 52,421.20, while the S&P 500 dipped 0.5% to 7,619.98. The Nasdaq Composite declined 0.6% to 26,186.41. Although technology sector losses were prominent, gains in other industries helped limit the overall market decline. More stocks in the S&P 500 advanced than declined during the trading session.
Nvidia, which was among the hardest-hit, fell 3.4%, significantly impacting major U.S. indices. The Philadelphia semiconductor index dropped by 5.9%. Shares of Micron Technology, Broadcom, and Advanced Micro Devices also declined on Monday. These movements followed public calls from several leading AI executives to slow down development due to safety concerns. Anthropic CEO Dario Amodei called for a cautious slowdown. Additionally, OpenAI CEO Sam Altman and xAI founder Elon Musk expressed support for decelerating AI progress.
Meanwhile, some software firms experienced gains despite the semiconductor sector’s weakness. Intuit increased by 5.5%, Autodesk climbed 7.8%, and Adobe moved up 5.3%. These positive movements helped offset part of the pressure from Nvidia and other large AI-related companies. The overall decline in the S&P 500 was narrower than what the technology selloff suggested. Bank stocks showed mixed results, with Bank of America falling 5.1% after its CEO mentioned lower investment banking fees.
Oil Continues to Stay Above $100
Oil prices extended their rise on Tuesday amid ongoing disruptions impacting Middle East energy infrastructure, which continue to threaten global supply routes. Brent crude increased approximately 1.2% to $106.96 per barrel during Asian trading hours. U.S. crude also gained about 1.3%, reaching $102.68. On Monday, Brent had settled at $105.68 after approaching nearly $110 earlier in the session. Attacks on Saudi energy infrastructure have damaged a major pipeline, and shipping through the Strait of Hormuz has significantly decreased.
Rising oil prices have coincided with an uptick in U.S. government bond yields. The 10-year Treasury yield briefly surpassed 5% on Monday, marking the first time since 2023. It then eased to 4.98%, compared with 4.96% late Friday. The Federal Reserve begins a two-day policy meeting on Tuesday, with its decision expected Wednesday. The Fed has kept its benchmark federal funds target range steady at 3.5% to 3.75% since the start of 2026.
Global Markets Follow Oil and Bond Movements
Stock markets across Asia showed mixed results Tuesday as investors monitored movements in oil prices, bond yields, and the recent decline on Wall Street’s technology sector. Japan’s Nikkei gained about 0.2%, while South Korea’s Kospi slipped roughly 0.3%. The U.S. dollar remained near a two-week high against major currencies. Brent crude maintained its position above $106, keeping energy prices at their highest in months. After Monday’s sharp declines, Nvidia and other AI-connected companies continue to influence global technology market trends.
The Federal Reserve’s September policy meeting extends through Wednesday and will include updated economic projections. Its July statement noted that inflation was still above the Fed’s 2% target, citing energy-related supply shocks as a factor. U.S. gasoline prices have also increased, with the national average nearing $4.32 a gallon—up from about $4.08 a month earlier and $3.18 a year prior. As Tuesday begins, oil remains above $100, Treasury yields hover near 5%, and technology stocks face renewed downward pressure.