New York stocks closed slightly lower on the 26th (local time) on a sharp drop in artificial intelligence (AI)-related chip stocks and profit-taking.
The Dow Jones Industrial Average closed at 51,876.11, down 0.09% from the previous session. The Standard & Poor's (S&P) 500 index fell 0.05% to 7,354.02, and the tech-heavy Nasdaq composite slipped 0.24% to 25,297.62.
The three major stock indexes were higher as of 2 p.m. that day. But they gave back gains as selling emerged in large-cap tech names and soon turned lower.
The Philadelphia Semiconductor Index also fell 5.3% from the previous day, showing increased volatility in major semiconductor and artificial intelligence (AI)-related stocks. A report that OpenAI, the operator of "ChatGPT," is considering delaying its initial public offering (IPO) to next year was also seen as weighing on investor sentiment toward AI-related stocks.
Meanwhile, international oil prices plunged on increased traffic through the Strait of Hormuz and the resumption of shipments from Saudi Arabia. Brent crude for August delivery and West Texas Intermediate (WTI) futures settled at $71.99 and $69.23 a barrel, down 4.34% and 3.74%, respectively, from the previous session.
U.S. Treasury yields also fell on the plunge in international oil prices. The 10-year U.S. Treasury yield finished at 4.37%, down 2 basis points (1 bp = 0.01 percentage point) from the previous day.
Gold prices rose. International spot gold was transacted at $4,071.81 an ounce, up 1.1% from the previous session.