On Monday, Oct. 6, the S&P 500 rose 0.4%, the Nasdaq composite gained 0.7% and the Dow Jones Industrial Average slipped 0.1%. AMD jumped 38%, from $164 to $227, after it announced a deal with OpenAI.
AMD also gave OpenAI a warrant for up to 160 million shares, a long-term option that rewards OpenAI as it buys more GPUs and AMD’s stock rises.
All three major U.S. indexes edged lower on Tuesday. The S&P 500 slipped 0.4%, the Nasdaq fell 0.6% and the Dow dipped 0.2%. Tech stocks dragged markets down after recent gains, while investors awaited new inflation data later this week.
The U.S. dollar index dropped 10%, as investors are buying gold at a rapid price. China and other countries are diversifying away from the U.S. Treasury and into gold.
On Wednesday, Oct. 8, stocks bounced back. The S&P 500 climbed 0.6% to a new closing high and the Nasdaq jumped 1.1%. The Dow was nearly flat.
Tech and AI names led the rally of investor optimism over potential Fed rate cuts and continued strength in chip and infrastructure names fueled the gains. Gold extended its rally past $4,000 per ounce as investors remained skittish amid uncertainty over the government shutdown and scant economic data.
On Thursday, Oct. 9, markets cooled after earlier rally highs, as investors paused to reassess
ahead of earnings season and amid mounting political risk. The S&P 500 slipped 0.3%, the Dow lost 0.5% and the Nasdaq dipped 0.1%. Despite recent records, gold retreated under pressure, falling 2% and sliding back below $4,000 per ounce.
The 10-year Treasury yield ticked up to about 4.1%. Minerals and rare-earth stocks saw gains after China expanded export licensing rules, which could benefit domestic producers. The U.S. government shutdown continues to distort markets, delaying key data. With less economic data, markets are increasingly focused on upcoming third quarter earnings for fresh direction.
Markets sold off sharply Friday after trade tensions between the U.S. and China. The S&P 500 fell 2.7%, the Nasdaq dropped 3.6% and the Dow lost 1.9%, marking their biggest one-day drop since April.
The sell-off came after President Donald Trump threatened new 100% tariffs on Chinese imports, responding to Beijing’s tighter controls on rare-earth mineral exports, which are key for chips and electric vehicles. The tariffs could take effect as soon as Nov. 1.
The White House began mass layoffs of federal workers amid the ongoing government shutdown. Investors moved to safer assets – gold.
