AI Stocks Erased Last Weeks Selloff on Monday
Wall Street futures jumped Monday as chip and AI names rebounded sharply from the prior week's rout, with Intel up 5.4%, Meta gaining 2.4%, and Marvell adding 2.6%, as easing oil prices and Treasury yields helped erase investor fears sparked by executives' AI slowdown warnings.
The panic that hit chip stocks a week earlier didn't last long. Wall Street futures jumped Monday as AI and semiconductor names staged a sharp rebound, with Intel rising 5.4%, Marvell adding 2.6%, Meta climbing 2.4%, and Dell advancing 2.7% — erasing much of the "AI doomsday" selloff that had rattled the sector just days before.
The rebound had real momentum behind it, not just relief. By the close, the Nasdaq Composite hit a record, and the rally reached beyond the usual chip names. A few details show how broad the move actually was:
- AMD crossed a $1 trillion market cap for the first time, up roughly 10%, while Qualcomm gained more than 9%
- Marvell, Seagate and Western Digital each rose between 3% and 5%, with Micron adding roughly 2.3%
- Accenture jumped 6% after announcing a $2 billion partnership with Anthropic to invest in AI evaluation services
The catalyst wasn't really about AI at all — it was oil. A roughly 2% to 4.5% drop in crude prices pulled the 10-year Treasury yield below the closely watched 5% mark, easing valuation pressure on growth stocks broadly.
But the timing carries its own signal: investors had spent the prior week digesting warnings from AI executives about the pace and risk of development, and by Monday, according to Reuters' market coverage, "market participants refocused on evidence that corporate spending on AI development continues to expand."
With this week's Trump-Xi summit and a heavy slate of Fed commentary still ahead, the rally reads less like resolved uncertainty and more like markets choosing, for now, to bet on continued AI spending over the risks that spooked them a week earlier.
