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US stocks climb amid shaky trading in markets worldwide · Best of: Features

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  This article is being read by an automated voice generated by Everlet.
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  NUYK, the AP US stocks are climbing Monday amid shaky trading for
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  financial markets worldwide, as AI stocks keep swinging and Brazilian stocks tumble.
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  The SP 500 rose 0.8 and more than recovered its losses from
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  last week, pulling within 1.6 of its all-time high set earlier this
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  month. The Dow Jones Industrial Average was up 154 points or 0.3
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  as of 1.15 PM Eastern Time, and the Nasdaq composite was 1.1
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  higher. The strongest lift for the market came from NVIDIA, which rose
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  two point five percent, that helped the chip company recover some of
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  its drop from three straight losing weeks, its longest such streak since
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  June, and maintain its position as the largest stock on Wall Street
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  above Apple. But stocks elsewhere in the artificial intelligence industry remained unsettled.
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  They've been swerving on worries about whether their industry's boom is under
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  threat, because of how expensive it's become, for companies to borrow money,
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  to build data centers, and buy more AI chips. Meta
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  platforms bounced up and down after outlining plans to raise thirty five
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  billion dollars by selling stock to help pay for its AI investments.
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  It also said it could raise another sixty billion dollars by selling
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  shares of a new class of its stock once it begins trading.
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  Meta
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  stock initially dropped more than two percent, but it quickly flipped to
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  a gain and then pulled back to a loss of zero point
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  two percent. Meta said NVIDIA, Advanced Microdevices and Broadcom have already indicated
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  they may buy a total of five billion dollars of stock in
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  its offering. That's a signal of strong interest from big chip companies
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  that stand to benefit from additional AI investments, but it also gives
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  fuel to critics of circular financing, who say It raises the risk
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  if AI isn't as successful as expected. Worries remain about borrowing for
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  AI. SpaceX, Elon Musk's rocket company that also runs the XAI business,
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  had similar swings. It opened with a loss and the flipped to
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  a gain of 0.9 after it agreed to a roughly forty billion
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  dollar deal with an entity managed by Apollo Global Management to lease
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  AI computing power. Musk warned over the weekend that hundreds of companies
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  that's rent out AI computing power are under threat because of the
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  difficulty in borrowing money, saying, on his social media platform, X, that
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  they could face Guppy B level death and consolidation. Coreweave, a company
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  that's borrowed money to buy AI computing power that it rents to
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  customers, has been at the center of investors worries in recent weeks.
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  On Monday it dropped five point five percent quickly after trading began,
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  only to flip to a gain of five point one percent. Such
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  minute to minute swings have become commonplace for it in recent days.
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  It's a big week for profit reports. Profit reports from huge tech
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  companies this upcoming week could offer more details about how spending on
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  AI is going, and whether it's producing the profits and productivity that
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  proponents promised. Alphabet and Microsoft will report their latest quarterly results on
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  Wednesday, with Amazon to follow on Thursday. Companies across all industries are
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  under pressure to report strong growth in their profits. Expectations for big
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  growth are what allowed their stocks prices to run to records recently,
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  despite worries about high inflation, high interest rates, and other concerns. Verizon
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  Communications fell two point eight percent even though it reported a stronger
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  profit for the summer than analysts expected, as its revenue fell short
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  of forecasts. Roughly one out of every three stocks in the S
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  P 500 is scheduled to report its latest quarterly results this week.
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  Brazilian stock tumble following mixed moves in Other markets, and In stock
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  markets abroad, Brazilian stocks fell sharply after President Luis Ignacio Lula da
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  Silva won re election in a result that surprised investors. The worry
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  among investors is that he could increase the government's spending and put
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  more pressure on its debt. The Bovespa stock index in Brazil dropped
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  fourteen point six percent. Other governments around the world are also feeling
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  pressure because of their high debt loads and worries about strained budgets.
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  France has been at the center of
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  the worries recently following violent protests in the country. But yield on
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  French government bonds eased Monday, and its CICA forty stock index rose
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  zero point eight percent for one of the world's better moves. Indexes
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  also rose in other European markets following a mixed finish in Asia.
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  The European Central Bank and the Bank of Japan will be meeting
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  to vote on interest rates later this week. Yields ease ahead of
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  The
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  Federal Reserves meeting. In the US bond market, yields fell for longer
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  term Treasurists. The yield on the ten year Treasury fell to four
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  point nine eight percent, from five point zero zero percent late Friday
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  and from more than five point three zero percent earlier this month.
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  The two year Treasury yield edged up to four point seven one
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  percent from four point six nine percent late Friday. It more closely
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  tracks expectations for what the Federal Reserve will do with overnight interest
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  rates, and the widespread expectation is that it will say on Wednesday
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  that it is leaving the Federal Funds rate alone following its latest
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  meeting. The Fed last month hiked the Fed funds rate for the
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  first time in three years in hopes of slowing inflation, which has
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  remained much higher than any one would like. Oil prices swing. The
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  price for a barrel of Brent Crude fell toward one hundred and
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  nine dollars in the morning, but it later erased the losses and
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  returned to one hundred eleven dollars and forty cents. It remains near
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  the high end of its range since the war with Iran began.
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  The highest price for the most actively traded contract in the market
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  for Brent Crude since then is nearly one hundred and twenty dollars,
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  reached in March. The AP business writers Michelle Chapman and Elaine Kirtenbach
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  contributed to this report.