Stocks Bounce After AI-Fueled Slide as AMD Surges: Markets Wrap
(Bloomberg) — A rally in technology firms spurred a rebound in stocks after a rout driven by fears about the disruptive impacts of artificial intelligence, with sentiment also buoyed by an improvement in consumer confidence.
Beaten-down corners of the market led gains on Tuesday, with an ETF tracking software firms up 1.5%. Advanced Micro Devices Inc. jumped 7% on Meta Platforms Inc.’s plans to spend billions on its gear. The Nasdaq 100 climbed 1%. Short-dated bonds underperformed. Gold fell.
AI Disruption Means Risk for Some, Opportunities for Others
Traders are bracing for Nvidia Corp.’s results on Wednesday, expecting the chipmaker to trounce expectations. The report will follow its recent lackluster share performance driven by investors rotating away from megacaps amid concerns over massive AI spending.
This week’s earnings will either “calm or exacerbate” fears about AI, according to David Laut at Kerux Financial. “We won’t have all of the answers this week, but worried investors are hungry for clarity,” he noted.
Weeks after Anthropic PBC sparked a market meltdown with the release of tools that raised questions about AI’s potential to render entire businesses obsolete, the startup said it’s expanding the reach of its Claude chatbot into new sectors.
The company unveiled new AI tools on Tuesday for its Claude Cowork agent software that are designed to automate work in fields including human resources, investment banking and design.
The S&P 500 rose 0.5%. The yield on 10-year Treasuries was little changed at 4.04%. The dollar wavered. The yen slipped as local media reported that Japanese Prime Minister Sanae Takaichi voiced apprehension over more rate hikes.
Corporate Highlights:
Home Depot Inc. reported a key sales metric that beat expectations in the latest quarter on steady demand, though the retailer cautioned that macroeconomic challenges remain. Intuit Inc. announced a multi-year partnership with Anthropic to bring custom AI agents to mid-market businesses and deliver personalized experiences for consumers and businesses. Warner Bros. Discovery Inc. is considering a new takeover proposal from Paramount Skydance Corp., the latest salvo in a battle for control of one of Hollywood’s most-famed studios. Novo Nordisk A/S plans to slash the US list prices for its blockbusters Wegovy and Ozempic next year as the drugmaker struggles to claw back a larger share of the obesity market. Hims & Hers Health Inc. fell on uncertainty about whether the telehealth company can keep selling copycat weight-loss drugs that are mired in legal and regulatory risks. Some of the main moves in markets:
Stocks
The S&P 500 rose 0.6% as of 11:20 a.m. New York time The Nasdaq 100 rose 1% The Dow Jones Industrial Average rose 0.8% The Stoxx Europe 600 rose 0.3% The MSCI World Index rose 0.4% Currencies
The Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1787 The British pound rose 0.3% to $1.3527 The Japanese yen fell 0.7% to 155.74 per dollar Cryptocurrencies
Bitcoin fell 0.7% to $64,142.43 Ether fell 0.4% to $1,855.99 Bonds
The yield on 10-year Treasuries was little changed at 4.03% Germany’s 10-year yield was little changed at 2.71% Britain’s 10-year yield was little changed at 4.31% The yield on 2-year Treasuries advanced two basis points to 3.46% The yield on 30-year Treasuries declined two basis points to 4.68% Commodities
West Texas Intermediate crude fell 0.2% to $66.18 a barrel Spot gold fell 1.6% to $5,143.99 an ounce ©2026 Bloomberg L.P.
