Stock market today: Dow, S&P 500, Nasdaq slip as oil retreats, Anthropic and OpenAI fuel AI jitters

US stocks slipped as a leaked Anthropic (ANTH.PVT) IPO prospectus and scrapped OpenAI (OPAI.PVT) next-generation model raised more questions about the AI trade, while geopolitical tensions continued to support higher oil and bond prices.

The Dow Jones Industrial Average (^DJI) fell 0.4%, while the S&P 500 (^GSPC) declined by 0.2%. The tech-heavy Nasdaq Composite (^IXIC) dipped by nearly 0.2%.

AMD (AMD) stock rose after the Lisa Su-led company acquired Fei-Fei Li’s AI model startup World Labs for $8.2 billion in a deal viewed as a talent and AI insights play.

The AI trade held investors’ attention on Tuesday after a Reuters report detailed a leaked Anthropic IPO prospectus, revealing that the AI lab is targeting a $2 trillion valuation and warning that AI could pose “existential risks to humanity.” Anthropic has not yet made an official filing public.

At the same time, rival startup OpenAI shelved its frontier AI model due to safety concerns that emerged during internal testing.

Much of the AI boom is riding on Anthropic and OpenAI making their public debuts. Earlier Tuesday, investors got a fresh look at IPO market conditions, which aren’t improving as bond yields surge. Health tech startup Oura has shelved its planned IPO for today, “due to uncertainty.”

Oil prices, meanwhile, slipped as Saudi Arabia resumed exports through its East-West pipeline and US and Iranian officials met with mediators to resume disjointed talks. Brent crude oil futures (BZ=F), the global benchmark, hovered near $96 per barrel, while WTI crude futures (CL=F) traded at $91 per barrel.

Economic data released Tuesday morning offered a more dour outlook on the US economy ahead of Friday’s jobs report, as consumer confidence fell to its lowest level since 2014.

In the labor market, job openings fell to 7.097 million in August, falling below economists’ expectations of 7.228 million openings and the previous month’s revised total of 7.335 million.

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Nike stock has never been more hated by the market

Yahoo Finance’s Brian Sozzi reports:

You can just feel and see the hate for Nike’s (NKE) stock heading into what may be another dreadful earnings report on Thursday.

Short interest on Nike just hit an all-time high at 87 million shares short, according to new research from S3 Partners. This is up sharply from 55 million shares short over the past year. The short interest percentage of the float has gone from under 3% to over 7%.

Read more here.
OpenAI’s Sam Altman delivers keynote as lab’s annualized revenue reportedly nears $70 billion

OpenAI CEO Sam Altman (OPAI.PVT) is delivering a keynote address at the company’s developers event.

The speech comes at a precarious time for the AI industry writ large, as Meta’s (META) Muse agentic AI model ramps up competition and Anthropic’s (ANTH.PVT) leaked IPO prospectus stirred fresh concerns about AI safety.

Adding to those headlines: Axios reported OpenAI’s revenue numbers, showing it’s no slouch compared to Anthropic.

Yahoo Finance’s Dan Howley reports that, according to Axios, OpenAI’s annual recurring revenue is approaching $70 billion, up more than 70% since the start of the third quarter.

In May, Anthropic said its annual revenue run rate reached $47 billion, up from $30 billion in April, Howley writes.

Both companies are experiencing rapid growth thanks to their high-powered AI offerings. But Anthropic is widely expected to kick off its initial public offering sometime this fall. OpenAI, meanwhile, is anticipated to go public early next year.

Read more.
Mortgage rates are approaching a 3-year high

Mortgage rates are closing in on 7.6% as Treasury yields continue to move higher.

The average 30-year fixed-rate mortgage rate was 7.58% on Tuesday, per Mortgage News Daily. That’s up 8 basis points from Monday, and is the highest level since November 2023.

The 10-year Treasury yield (^TNX), which mortgage rates closely track, was up around 4 basis points to 5.28% as of midday.
Consumer confidence fell steeply in September, says Conference Board

Consumer confidence plunged in September, falling markedly below expectations as investors digest bond yields at multidecade highs, the seventh month of the Iran war, worries around AI, and a host of other potential headwinds.

The Conference Board’s consumer confidence index fell to 81.9 from the previous month’s reading of 88.6, which was revised down from 89.4, per Conference Board data published Tuesday. Economists had been looking for a sharply higher reading of 89.

US households also reported markedly worse outlooks on both their current situations and their future expectations.

The Conference Board’s present situation index fell to 109.3 from the previous month’s 117.2 — revised down from 121.2 — while economists had been looking for a reading of 120.2. The expectations index was 63.6, against expectations of 68.5 and August’s revised reading of 69.5.

“Consumer appraisals of current business conditions became negative for the first time since September 2024,” said Dana Peterson, chief economist at The Conference Board. “Perceptions of the current labor market also worsened, though remained within positive territory. Over the next six months, consumers expected both business conditions and the labor market to weaken. Consumers still anticipated their household incomes to rise, but less so compared to previous months.”
JOLTS data shows decline in job openings growth ahead of Friday nonfarm payrolls report

Job openings declined by a wider margin than expected in August, according to data released by the Bureau of Labor Statistics on Tuesday, putting pressure on the idea of a strong US labor market ahead of Friday’s monthly nonfarm payrolls report.

The US economy saw 7.097 million job openings recorded in August, falling below economist ‘ expectations of 7.228 million openings and the previous month’s revised total of 7.335 million, marking a slowdown for the labor market.

Quits and layoffs were also slightly lower than expected, reinforcing what economists have called a “low hire, low fire” labor economy. Quits were recorded at 3.066 million against estimates of 3.109 million, while August saw 1.641 million layoffs against estimates of 1.65 million.

The BLS data will help set investor expectations for Friday’s September jobs report, which is a key indicator of the Federal Reserve’s path forward. Consensus expectations are for 90,000 jobs added, compared with August’s 162,000.
Home prices continued to rise in July but still trailed inflation

US home price growth accelerated in July, helped by strong appreciation in many East Coast cities.

The S&P Cotality Case-Shiller 20-City Composite Home Price Index, which measures home prices in 20 of the nation’s largest metropolitan areas, rose 2.47% year-over-year in July, up from 2.1% in June.

The national index, which measures home prices in additional areas, rose 1.93%.

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US stocks mixed at open as yields inch higher

US stocks were mixed at Tuesday’s open as long-term Treasury yields inched higher and oil prices eased. Investors are digesting a fresh round of AI industry developments alongside geopolitical tensions that continued to support higher oil and bond prices.

At the open, the Dow Jones Industrial Average (^DJI), the tech-heavy Nasdaq Composite (^IXIC), and S&P 500 (^GSPC) were little changed.

A deepening bond rout has sent US Treasury yields to historic highs in recent weeks, driven in part by rising prices, particularly for oil, amid a fast-growing US economy that has facilitated the AI boom’s major spending spree.

Brent crude futures (BZ=F) fell to $96 per barrel earlier Tuesday.

The yields for the benchmark 10-year Treasury yield (^TNX) and 30-year bond (^TYX) inched higher.
Goldman board weighs timeline for Solomon to step down as CEO

Goldman Sachs (GS) CEO David Solomon just got the clearest public indication yet of when his long-anticipated successor, No. 2 executive John Waldron, could replace him atop the storied Wall Street bank.

Goldman’s board has discussed a plan for Solomon to step down as CEO as soon as the end of 2027 or 2028, according to a Wall Street Journal report from late Monday that cited unnamed sources, potentially putting a timetable around the leadership change that the bank has been preparing for publicly for years.

Board approval of the plan would need to take place in the coming months, according to the report.

“Of course the Board regularly discusses succession, as we disclose in our filings,” a Goldman spokesperson, Tony Fratto, said in an emailed statement to Yahoo Finance.

“But there is no definitive timeline for succession at Goldman Sachs,” Fratto added, calling any assertions about timing speculative.

Read more.

Goldman Sachs Chairman and CEO David Solomon speaks at the Economic Club of New York in New York City, on June 2, 2026. (Photo by ANGELA WEISS / AFP via Getty Images) · ANGELA WEISS via Getty Images
Nvidia is trading like an oil stock — and taking advantage of the moment

Of all the tech darlings, Nvidia (NVDA) has the most modest multiple, Yahoo Finance’s Hamza Shaban writes in today’s Morning Brief newsletter:

Despite being the heart of the AI trade and a shining example of post-COVID growth in the US, every other member of the “Magnificent Seven” has been trading at a higher premium. Per FactSet, Nvidia’s forward price-to-earnings multiple is even lower than that of the S&P 500 (^IXIC).

It’s almost a certainty that CEO Jensen Huang, clad in his leather jacket of bullish optimism, is not thrilled with his company’s valuation ratio, with way more work and profit required to reach that record high.

But Huang and Nvidia’s board wasted no time and took advantage of the low valuation to execute the largest buyback ever in the US, a $150 billion increase to its stock buyback program. Yet another instance of Nvidia flexing its cash.

Nvidia’s relative cheapness brings an unexpected comparison to mind: ExxonMobil (XOM). That’s the thrust of a new and surprising analysis by DataTrek co-founder Nicholas Colas, who frames the two firms as underrated tickers at the center of scarcity investment stories — data and oil.

Read more.
AMD just spent $8.2 billion to enlist the ‘Godmother of AI’

Yahoo Finance’s Brian Sozzi reports:

In spending $8.2 billion to scoop up World Labs, AMD (AMD) CEO Lisa Su has gained an AI innovator and possible successor for when the time comes.

AMD announced late this afternoon an agreement to acquire World Labs, an AI model lab based in San Francisco that focuses on software for 3D environments.

The transaction is expected to close by the end of 2026.

World Labs was founded in 2024 and is led by Dr. Fei-Fei Li, a leading AI researcher known in tech circles as the “Godmother of AI.” She was once the chief scientist at Google (GOOG) Cloud.

Li will join AMD as an executive vice president and chief scientist. The direct reporting line to Su underscores the pivotal role Li will play in shaping AMD amid the unprecedented AI boom.

Read more.

AMD CEO Lisa Su (left) and World Labs’ Fei-Fei Li (right). · Fei-Fei Li Substack post.
Good morning. Here’s what’s happening today.

Economic data: FHFA house price index, month-on-month, July (+0% previously); Conference Board consumer confidence, September (90 expected, 89.4 previously); Conference Board present situation, September (121.2 previously), JOLTS job openings, August (7.225 million expected, 7.271 million previously); JOLTS quits rate, August (1.9% previously); JOLTS layoffs rate, August (1% previously); Dallas Fed services activity, September (4.2 previously)

Earnings calendar: Carnival Corporation (CCL), CarMax (KMX), AAR (AIR), Uranium Energy Corp. (UEC), Concentrix Corporation (CNXC)

Catch up on some top stories you might have missed overnight:

OpenAI shelves new AI model after internal safety tests, WSJ reports

AI added $1 billion in new hospital billing, Blue Cross says

Anthropic IPO leaks: Here are two big hot takes

Nvidia’s $150 billion buyback: Why shareholders should pay attention

Samsung to invest $1 billion in KKR’s AI infrastructure company

Trump denies asking China’s Xi about potential US arms sales

Jane Street is offering six figures for a swag manager

Who is Fei-Fei Li? Why AMD just spent $8.2 billion to enlist the ‘Godmother of AI’
Anthropic’s IPO prospectus shows sweeping AI vision, surging costs: Reuters

Ahead of Anthropic’s (ANTH.PVT) highly anticipated initial public offering (IPO), which is expected as soon as this fall, Reuters caught a look at the AI startup’s prospectus. The official filing has not yet been made public.

While investors will need to wait for the S-1 filing to come to light for confirmation, the leaked document revealed some crucial details about the company. Anthropic declined to comment to Reuters on the release.

Here are some of the key takeaways from the rumored prospectus:

Anthropic is growing quickly: Revenue reportedly grew 12-fold in 2025 to nearly $4.6 billion.

It’s also losing a lot of money. The company lost more than $8 billion on an operating basis in 2025, per Reuters. Anthropic reported a net loss of $42 billion in 2025 and plans to spend $518 ‌billion on infrastructure obligations in the coming years.

An eye-popping valuation: The company expects a valuation as high as $2 trillion — more than double its current valuation of $965 billion, per Yahoo Finance private company data. For comparison, Elon Musk’s SpaceX (SPCX) is currently valued at $1.9 trillion.

Warnings about potential AI harms: Anthropic laid out the “catastrophic or existential risks to humanity” posed by artificial intelligence, even as it looks to capitalize on the advanced technology. The risks, according to Anthropic, include attempts to “resist shutdown” and “conceal or ‌manipulate information.”