Good morning. U.S. stocks declined on Monday as oil prices surged, setting a cautious tone ahead of a highly anticipated Federal Reserve meeting this week.
Brent crude futures rose to $109 per barrel, intensifying concerns about persistent inflation as diesel prices hover above their all-time high of $6 per gallon.
Treasury yields stayed elevated, with the 10-year Treasury yield hovering just a few basis points away from the critical 5% level.
The 2-year yield stood at 4.64%, signaling that market participants expect Federal Reserve policymakers to increase interest rates. According to Polymarket, investor bets that the Fed will hike rates on Wednesday stood at 80%.
Here is an early look at the market landscape during the first few minutes of trading, based on a heat map powered by Yahoo Finance AlphaSpace data.
Tech stocks (XLK) fell more than 2%, with chip heavyweight Nvidia (NVDA) leading the semiconductor sector lower.
This decline follows a warning from artificial intelligence leaders at Anthropic (ANTH.PVT) and OpenAI (OPAI.PVT) regarding the potential existential risks to humanity posed by rapid AI development.
Here are some other notable stocks that Yahoo Finance readers are viewing this morning: Advanced Micro Devices (AMD), Sandisk (SNDK), and Nebius Group (SKWS).
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