NEW YORK (AP) — Wall Street drifted to a quiet finish Monday after stocks of chipmakers and other winners of the artificial-intelligence boom trimmed some of their recent losses. The S&P 500 dipped 0.2%, coming off its first losing week in the last three and just its third since the end of March. The Dow Jones Industrial Average dropped 307 points, or 0.6%, and the Nasdaq composite was basically flat after slipping by less than 0.1%.Nvidia added 0.2% and held firmer following its drop on Friday, when it was the heaviest weight on the S&P 500. Sandisk climbed 2.7% after tumbling 29% last week. Advanced Micro Devices rose 1.6% after announcing an expanded partnership where Microsoft will use its products for AI, including its new Helios product starting in the second half of the year.
AP AUDIO: Wall Street drifts as AI stocks hold steadier after last week’s losses
AI stocks rebound, but not enough to boost the markets.
Such stocks have been under pressure for weeks on worries that their prices shot too high in the euphoria around AI. On one hand, companies are making billions of dollars in revenue as customers pour money into AI chips and data centers. But all that spending may fizzle out if AI doesn’t produce as much profit and productivity as promised.
