Global stocks fell on Monday as a surge in oil prices and rising government bond yields weighed on risk appetite ahead of central bank meetings in the United States and Japan this week.
On Wall Street, technology and industrial stocks led declines across the three major indexes. Artificial intelligence-related shares also came under pressure after the leaders of OpenAI and Anthropic called for a slowdown in AI development to manage risks and protect humanity.
The Dow Jones Industrial Average .DJI fell 0.23%, the S&P 500 .SPX fell 0.28% and the Nasdaq Composite .IXIC fell 0.16%.
The Philadelphia chip index .SOX dropped 5%.
In Europe, the STOXX 600 .STOXX was down 0.49% as gains in oil and gas stocks were offset by losses in tech, which were swept lower after the concerns expressed in a letter by Anthropic CEO Dario Amodei, echoed by Elon Musk, who runs xAI, and Sam Altman, CEO of OpenAI.
MSCI's gauge of stocks across the globe .MIWD00000PUS fell 0.45%.
"(Markets) are down but surprisingly resilient given the wall of worry, including rates, oil prices, Fed uncertainty and the AI build-out discussion," said Mark Hackett, chief markets strategist at Nationwide.
"The news has focused on the negative," Hackett said. "... Overall, the market is quite resilient but will likely churn sideways until we get some resolution on the Fed uncertainty and the inflation pressure conversation along with September seasonality. The breakout is unlikely until October, but with macro trends and earnings strength that is the most likely outcome."
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