Stocks rose Monday as semiconductor makers rallied after Anthropic’s IPO filing revived enthusiasm for the AI trade.
The Dow Jones Industrials progressed 86.39 points to 52,301.55.
The S&P 500 index gained 54.18 points to 7,677.81
The tech-heavy NASDAQ popped 249.31 points to 26,204.65.
Chip stocks and other AI-related shares rose as Anthropic publicly filed for an IPO, an offering investors are betting will add new life to the flagging tech sector.
The AI company reported $16.29 billion in revenue for the six months ended June, a 1,304% increase from $1.16 billion during the same period a year earlier. It plans to list on the NASDAQ under ticker symbol “ANT.”
Other major AI headlines added to the risk-on sentiment. Meta Platforms said Monday it is planning to raise $95 billion to support its AI investments. SpaceX CEO Elon Musk said over the weekend that the satellite and rocket launch company has closed a $40-billion debt deal for AI chips.
Shares of Nvidia climbed 2.6%, Micron increased 2%, Broadcom rose 2.2% and Advanced Micro Devices edged higher by 1.1%.
Neocloud names fell again on Monday after their slide last week, after Elon Musk said more than 200 companies in the space face “guppy-level death.” A neocloud is a specialized cloud computing company that builds and rents out AI-dedicated infrastructure. Shares of
CoreWeave fell 1.7%, while Nebius Group dropped 3.7%.
Traders are awaiting the Federal Reserve’s decision on Wednesday. Fed funds futures trading suggests a 90% likelihood that policy makers will hold interest rates at the current target range of 3.75% to 4%
Prices for the 10-year Treasury was slightly higher, raising yields to 4.98% from Friday’s 5%. Treasury prices and yields move in opposite directions.
Oil prices slid 70 cents to $102.57 U.S. a barrel.
Gold prices moved upward $23.10 to $4,031.00 U.S. an ounce.
