Stocks are at record highs as markets rally around potential Fed interest rate cuts in September. A survey shows 91% of fund managers believe US stocks are overvalued. Speculation around the Consumer Price Index and stagflationary fears add to uncertainty. Nvidia and AMD agree to give 15% of their chips revenue from China to the US government.

C3.ai shares plummet 24% after revenue projections fall 33% below prior guidance. The company anticipates a 19% year-over-year revenue drop and an adjusted operating loss twice the previous estimate. CEO health issues prompt a search for a successor. Analysts predict a collapse in earnings per share estimates for C3.ai.

Bitcoin prices rally close to $123,000 before pulling back slightly. The surge comes after a tight trading range since July. C3.ai’s struggles are seen as company-specific, prompting a shift away from pure AI plays. The company may take several quarters to recover, with earnings estimates likely to decline in the meantime.

Read more at Yahoo Finance: Why this hot AI trade just got smoked: Opening Bid top takeaway