AI Rattles Tech Trade as Oil Prices Surge Ahead of Fed Decision

U.S. stock futures took a hit on Monday as the tech trade was rattled by a call to slow AI development from Anthropic CEO Dario Amodei.

The comments, made over the weekend, sparked a debate among tech leaders, with President Donald Trump pushing back, saying the U.S. must maintain its AI lead over China.

Rising oil prices and Treasury yields added another layer of pressure ahead of the Federal Reserve's policy decision this week, with markets now pricing in an increasingly likely quarter-point rate hike.

Nasdaq futures fell 1.5%, S&P 500 futures declined 0.6%, Dow futures were down 0.2%, and Russell 2000 futures fell 0.3% as of 4:00 a.m. ET.