Meta Platforms experienced a 3% drop in premarket trading, following a nearly 13% gain last week, primarily due to a broader sell-off in AI-related stocks. This decline occurred despite recent announcements regarding its personal AI agent, Muse. Newmont, the gold mining company, fell over 4% as gold prices dropped by 3%, influenced by rising global bond yields, particularly the 10-year U.S.
Treasury note yield surpassing 5.2%, which dampens demand for non-interest-bearing assets like gold. In contrast, energy stocks benefited from a more than 4% increase in U.S. oil prices, which rose above $96 per barrel, leading to gains for Occidental Petroleum and ConocoPhillips, both up 2%, and Exxon Mobil and Chevron, which increased by 1.5%.
However, airlines faced pressure as higher oil prices raised concerns over jet fuel costs, resulting in declines for United Airlines and American Airlines, both down more than 2%, while Southwest Airlines and Delta Air Lines fell by over 1.5%.
Nvidia stood out among chipmakers, gaining 1.5% despite a general decline in the sector, attributed to the announcement of new AI safety software and a substantial $150 billion increase to its stock buyback program, while other chipmakers like Marvell Technology and Advanced Micro Devices saw declines of around 2%