Nasdaq Holds Gains as AI Rally Offsets Oil Price Jitters

The US stock market opened mixed on Monday, August 17, as renewed optimism in artificial intelligence lifted semiconductor stocks and offset broader market pressures from escalating Middle East tensions and rising crude oil prices.

The Nasdaq Composite held its ground, trading at 26,735.98, up 6.81 points or 0.03% in early trading. In contrast, the Dow Jones Industrial Average declined by 153.31 points or 0.29% to 53,579.10, while the S&P 500 fell by 12.81 points or 0.16% to 7,772.95.

Chip stocks surged after Bloomberg News reported that artificial intelligence company Anthropic's second-quarter revenue exceeded $11.5 billion, a staggering increase from $787 million in the year-ago period and $4.73 billion in the first quarter of this year.

Micron Technology shares rose 4.84% in early trading, crossing the psychologically significant $1,000 level to trade at $1,016.81. Other memory and semiconductor stocks such as SanDisk, Western Digital, and Marvell Technology also posted gains, ranging from 6.13% to 8.44%.

However, geopolitical tensions in the Middle East pushed crude oil prices higher on Monday, counterbalancing the positive sentiment from AI-driven tech gains. Brent crude futures traded at approximately $89 per barrel, while West Texas Intermediate futures hovered near $83 per barrel.