Wall Street split along sector lines Thursday after a Financial Times report said OpenAI's annualized revenue sits about $20 billion below previously signalled levels, putting the ChatGPT maker on track for roughly $50 billion rather than the close-to-$70 billion figure reported last month.
The S&P 500 slipped 0.5% and the Nasdaq Composite fell 1.3%, its worst session in seven weeks, while the Dow edged 0.1% higher. Chipmakers bore the brunt: the Philadelphia semiconductor index slid 3.4%, with Intel down 5.3%, Broadcom off 4.4%, AMD dropping 3.9% and Nvidia shedding 3%. Oracle also slid on a report it has been trucking natural gas to server farms to ease power bottlenecks.
The damage was narrow, though. More than two-thirds of S&P 500 members finished higher and small caps were little changed as money rotated into consumer staples and low-volatility stocks. Heading into Friday, investors are watching whether chipmakers and AI-capex names stabilize, and whether bonds keep rallying — the 10-year yield fell to 5.22% after strong demand at a 30-year auction pulled long yields back from two-decade highs.
Also on the radar: President Trump described talks with Iran as productive and said the U.S. would not attack before the November 3 midterm elections, while Fed Governor Christopher Waller kept the hawkish tone, saying further rate rises would probably be needed.
