Stock indexes are down today, with the S&P 500, Dow Jones, and Nasdaq 100 all in the red. Chipmakers initially pushed indexes to new highs, but most retreated, with Advanced Micro Devices up over 3% due to AI spending. Government shutdown and disappointing economic reports weigh on market sentiment.

Investors are optimistic about AI sector growth and corporate profits, supported by a resilient US economy and potential Fed easing. Hawkish comments from the Kansas City Fed President put pressure on stocks. The ongoing US government shutdown delays key economic reports and could lead to widespread dismissals. Gold and Bitcoin are sought as safe havens.

Global markets are mixed, with European bond yields rising. German factory orders fell unexpectedly. Swaps indicate a low chance of ECB rate cut. US stock movers include chipmakers like KLA Corp and Ford Motor facing disruptions. Tech companies like PayPal and IBM see gains, while homebuilders and retailers face downgrades.

Earnings expectations are rising, but profits are expected to increase at a slower pace. The markets predict a 93% chance of a rate cut at the next FOMC meeting. Focus this week is on tariffs, trade, and the government shutdown. Overseas markets are closely monitored, with interest rates and bond yields fluctuating globally.

Read more at Nasdaq: Stocks Turn Lower as Chipmakers Retreat