NEW YORK / RankWire.AI / – U.S. stocks ended lower Monday as declines in artificial intelligence and semiconductor shares weighed on major indexes. The S&P 500 fell 0.5% to 7,619.98. The Dow Jones Industrial Average lost 152.09 points, or 0.3%, to 52,421.20. The Nasdaq Composite dropped 0.6% to 26,186.41. Technology stocks led the retreat, though gains in other sectors limited the broader decline. More S&P 500 companies advanced than fell during the session.
Nvidia dropped 3.4% and became one of the largest weights on the major indexes. The Philadelphia semiconductor index fell 5.9%. Micron Technology, Broadcom and Advanced Micro Devices also finished lower. The declines came as several prominent technology executives called for slower artificial intelligence development because of safety concerns. Anthropic CEO Dario Amodei supported a deliberate slowdown. OpenAI CEO Sam Altman and xAI founder Elon Musk also backed a slower pace of AI development.
Software shares moved in the opposite direction during the session. Intuit climbed 5.5%, Autodesk gained 7.8% and Adobe rose 5.3%. Their advances helped offset some pressure from semiconductor and AI-related companies. The mixed trading left the S&P 500 with a smaller decline than the technology sector. Financial stocks also produced uneven results. Bank of America fell 5.1% after its chief executive discussed weaker investment banking fees.
Oil prices add pressure to global markets
Oil prices rose again Tuesday as disruptions to Middle East energy infrastructure continued to affect supply routes. Brent crude gained about 1.2% to $106.96 a barrel in Asian trading. U.S. crude rose around 1.3% to $102.68. Brent had settled at $105.68 on Monday after nearing $110 earlier in the session. Damage to Saudi energy infrastructure disrupted a major pipeline. Shipping activity through the Strait of Hormuz also remained sharply reduced.
Bond markets reflected the renewed pressure from energy prices and inflation concerns. The 10-year U.S. Treasury yield briefly moved above 5% on Monday for the first time since 2023. It later eased to 4.98%, compared with 4.96% late Friday. The Federal Reserve began a two-day policy meeting Tuesday and will announce its decision Wednesday. The Federal Reserve has kept its benchmark federal funds target range at 3.5% to 3.75% since early 2026.
Investors track rates, energy and technology
Asian markets traded mixed Tuesday as investors followed oil prices, Treasury yields and the latest U.S. technology losses. Japan’s Nikkei rose about 0.2%, while South Korea’s Kospi slipped roughly 0.3%. The U.S. dollar traded near a two-week high against major currencies. Brent crude remained above $106 a barrel. Nvidia and other large AI-linked companies also remained in focus after Monday’s sharp losses across semiconductor and technology shares.
The Federal Reserve’s September meeting runs through Wednesday and includes updated economic projections. Its July policy statement said inflation remained above the central bank’s 2% goal. The statement also cited energy-related supply shocks. U.S. gasoline prices have risen alongside crude oil, with the national average nearing $4.32 a gallon. That compares with about $4.08 one month earlier and $3.18 a year earlier. U.S. markets enter Tuesday with oil above $100 and Treasury yields near 5%.