NEW YORK / RankWire.AI / – On Monday in the United States, major stock indexes closed lower, driven by declines in artificial intelligence and semiconductor sectors. The S&P 500 decreased by 0.5% to reach 7,619.98. The Dow Jones Industrial Average fell 152.09 points, or 0.3%, ending at 52,421.20. The Nasdaq Composite experienced a 0.6% drop to 26,186.41. Technology stocks led the retreat, although gains in other sectors helped limit the overall decline. During the session, more companies in the S&P 500 advanced than declined.
Nvidia’s stock declined 3.4%, becoming one of the heaviest weights on the major indexes. The Philadelphia semiconductor index fell 5.9%. Micron Technology, Broadcom, and Advanced Micro Devices also finished lower. The downward movement coincided with calls from several key technology executives for a slowdown in artificial intelligence development due to safety concerns. Anthropic CEO Dario Amodei endorsed a cautious approach. OpenAI CEO Sam Altman and xAI founder Elon Musk also supported a slower pace for AI progress.
In contrast, software stocks moved upward during the session. Intuit increased by 5.5%, Autodesk gained 7.8%, and Adobe rose 5.3%. These gains helped counterbalance some of the pressure exerted by semiconductor and AI-related shares. The mixed market activity resulted in the S&P 500 experiencing a smaller decline than the technology sector. Meanwhile, financial stocks showed uneven performance, with Bank of America dropping 5.1% after its CEO discussed weaker investment banking fees.
Oil prices climb as global markets face ongoing disruptions
On Tuesday, oil prices continued their ascent amid ongoing disturbances to Middle East energy infrastructure affecting supply routes. Brent crude increased approximately 1.2%, reaching $106.96 per barrel in Asian trading. U.S. crude also rose about 1.3%, hitting $102.68. On Monday, Brent settled at $105.68 after approaching $110 earlier in the trading session. Damage to Saudi energy infrastructure disrupted a major pipeline, and shipping activity through the Strait of Hormuz remained significantly reduced.
Bond markets reflected the renewed pressure from rising energy prices and inflation fears. The 10-year U.S. Treasury yield briefly surpassed 5% on Monday for the first time since 2023, before easing to 4.98%, compared to 4.96% late on Friday. The Federal Reserve’s two-day policy meeting began Tuesday and will conclude with an announcement on Wednesday. The Fed has maintained its benchmark federal funds target range at 3.5% to 3.75% since early 2026.
Markets in Asia Show Varied Responses to Oil and U.S. Economic Indicators
Asian markets experienced mixed trading on Tuesday as investors monitored oil prices, U.S. Treasury yields, and the recent declines in American technology stocks. Japan’s Nikkei gained approximately 0.2%, while South Korea’s Kospi declined roughly 0.3%. The U.S. dollar traded near a two-week high against major currencies. Brent crude stayed above $106 a barrel. After Monday’s sharp drops in semiconductor and technology shares, Nvidia and other large AI-related firms remained under close scrutiny.
The Federal Reserve’s September meeting, which runs through Wednesday, includes updated economic forecasts. Its July statement highlighted that inflation remains above the 2% goal, citing energy-related supply shocks as a contributing factor. U.S. gasoline prices have risen in tandem with crude oil, with the national average nearing $4.32 per gallon, up from about $4.08 one month earlier and $3.18 a year ago. As markets open Tuesday, oil prices stay above $100, and Treasury yields hover near 5%.