US Markets Open Lower as AI Fears and Oil Surge Hit Sentiment
What Happened
US stocks opened on a weak note Monday, with the Dow Jones, S&P 500 and Nasdaq under pressure from rising oil prices, escalating Middle East tensions, and concerns over AI growth after leading AI companies called for slower development of advanced models. Investors are also positioning ahead of this week's Federal Reserve meeting, where markets are pricing in a high probability of a rate hike. Dow Jones: ~52,489 (-0.16%) S&P 500: ~7,640 (-0.23% to -0.65% intraday) Nasdaq: ~26,309 (-0.09%, with tech stocks under pressure)
Key Takeaways
Wall Street is in a risk-off mode. Rising oil prices, expectations of further Fed tightening, and a sell-off in AI-linked stocks such as Nvidia are weighing on markets. The Fed's rate decision on Wednesday is likely to be the next major catalyst.