AI stocks lead a rebound on Wall Street as European markets drop following protests

NEW YORK (AP) — Stocks in the artificial-intelligence industry are recovering some of their steep losses from last week on Wall Street, but the U.S. market and stocks worldwide are still shaky on Monday.The S&P 500 rose 0.4% and clawed back a portion of its worst week since June. The Nasdaq composite, which is full of technology stocks, climbed 0.9%.

Outside of AI, the market was more subdued, and the Dow Jones Industrial Average was down 44 points, or 0.1%, as of 10 a.m. Eastern time.In Europe, indexes dropped more than 1%, including 1.5% in Paris, following violent protests over the weekend that could force governments to increase their spending and put even more pressure on bond markets. Yields cranked higher for European bonds despite drops for oil prices.Even with all the cross currents, AI stocks stood out, as they have for most of the past few years.

A frenzy in spending for AI technology has forced them to the forefront of the market, sending them to record prices and driving indexes higher. Last week, though, AI stocks tumbled on worries about how expensive it has become to borrow money, which could threaten the boom.Much of the spending on AI chips and data centers has come from borrowed money, and Treasury yields in the bond market have recently hit their highest levels in years or even decades. That raises the cost of borrowing money for everyone, from the U.S.

government to companies to households.CoreWeave, a company that’s borrowed to buy AI chips that it rents out to customers over the cloud, has been at the center of the market’s shifts. It rose 0.6% Monday after trimming an initial burst of 7%. Last week, it lost a quarter of its value after tumbling 25.2%.Nvidia added 0.6% and was one of the strongest forces lifting the S&P 500 Monday.

Because it’s the largest stock on Wall Street by total market value, a 1% move for its stock has more effect on the index than any other’s.SpaceX, which controls the xAI business, rose 1.6% to $148.38. Its founder, Elon Musk, pledged on Monday to give one share of SpaceX to “every kid in America” next year. The offer came after Anthropic said over the weekend that it will commit 5% of the shares in its highly anticipated initial public offering of stock to a new “public benefit” fund.AI stocks rose ahead of some profit reports coming later in the week that could offer more details about the strength of AI-r…

NEW YORK (AP) — Stocks in the artificial-intelligence industry are bouncing back on Wall Street Monday and recovering some of their steep losses from last week, but the rest of the market and stocks worldwide are still shaky.The S&P 500 rose 0.5%, coming off its worst week since June. The Nasdaq composite, which is full of technology stocks, jumped 1%. But many stocks outside of the AI industry were more subdued, and the Dow Jones Industrial Average was down 76 points, or 0.1%, as of 9:35 a.m.