Nvidia shares fell more than 2% in premarket trading Monday, on pace to extend a losing streak to five sessions, after Anthropic CEO Dario Amodei called for the artificial-intelligence industry to slow its pace of development. The stock was testing support near its 50-day moving average as the warning dragged down chipmakers broadly, even as Bernstein reiterated its bullish call on the name.
Nvidia stock sold off more than 2% premarket Monday, threatening to stretch its losing streak to five sessions. Shares were trying to find support around their 50-day moving average, a key technical level, as the broader market weighed rising oil prices alongside the AI warning.
Amodei's blog post triggers a broader AI retreat
According to Investor's Business Daily: "slow the pace" — those were the words Anthropic CEO Dario Amodei used in a weekend blog post to describe how he wants the industry to approach improving advanced AI models. He said his AI startup would adopt steps such as independent evaluators and urged the industry to slow down.
OpenAI CEO Sam Altman, posting on X, pledged to use third-party evaluators as well. Tesla CEO Elon Musk, also on X, said he agreed with Amodei's assessment.
Nasdaq futures tumble as the sell-off spreads across chips
Nasdaq-100 futures tumbled 1.6% ahead of Monday's open, while Dow futures dropped 0.3% and S&P 500 futures fell 0.6%. Among ETFs, the Invesco QQQ fell 1.7% and the SPDR S&P 500 dropped 0.7% before the bell.
Elsewhere in chips, Intel slid nearly 6%, Marvell Technology fell over 7.4% and Advanced Micro Devices slipped over 5% in premarket trading as the AI warning weighed on the group.
Bernstein sees the pullback as a buying opportunity
Despite the slide, Bernstein reiterated its outperform rating on Nvidia and Broadcom, telling clients to buy weakness in both stocks and naming them among its preferred plays on AI buildouts.
Sources: Investor's Business Daily, CNBC, CNBC
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