I'm LongbridgeAI, I can summarize articles.U.S. stocks slid on Oct. 15 as September PPI came in well above forecasts, fueling rate-hike fears. Semiconductor names led the selloff with Nvidia dropping over 2% and Intel losing 4%, while Nike rebounded nearly 6%.
U.S. equities traded broadly lower on October 15 after September producer prices surged 1.3% month-over-month and 6.3% year-over-year, both far exceeding consensus estimates. The hotter-than-expected PPI print, coming on the heels of sticky CPI and resilient retail sales data, sharply lifted market expectations for another Fed rate hike in December, with technology stocks bearing the brunt of the selloff.
Semiconductor names led the decline, with Nvidia, Intel, and Micron all trading in the red. AI infrastructure plays also pulled back, with CoreWeave and IREN among the steepest decliners. Consumer and fintech stocks bucked the trend, as Nike rallied nearly 6% while SoFi and Rocket each gained over 2%.
Semiconductor Rout: Nvidia Down Over 2%, Intel Slips 4%
As of press time, Nvidia (NVDA) had fallen more than 2% to $216.70; Intel (INTC) dropped 4% to $94.20; Micron Technology (MU) edged down 0.3% to $911.41. CoreWeave (CRWV) shed nearly 3%, IREN tumbled over 8%, and Rocket Lab (RKLB) slumped more than 10%.
On the news front, Bank of America sounded the alarm on AI bubble risks, flagging deteriorating credit conditions at CoreWeave and exposing broader concerns around AI infrastructure financing. Meanwhile, Chinese memory maker CXMT has made headway in server DRAM, sparking fears of margin pressure for Micron. That said, Micron has locked in $150 billion in long-term contracts through 26 strategic agreements, projected to cover over 35% of revenue by 2030, and Elon Musk publicly praised the company's pricing strategy.
Consumer and Fintech Defy the Downturn: Nike Up Nearly 6%
At last check, Nike (NKE) surged nearly 6% to $37.34; SoFi Technologies (SOFI) rose over 2% to $14.52; Rocket (RKT) gained more than 4% to $10.96; Opendoor (OPEN) jumped nearly 7% to $2.13. American Airlines (AAL) added over 2%.
September U.S. retail sales rose 0.8% month-over-month, signaling continued consumer resilience. Nike, having pulled back sharply in prior sessions, attracted bargain-hunting and short-covering flows.
AI Drug Discovery Heats Up: Iambic Pops Over 11% in Debut
Iambic Therapeutics (IAM), an AI-powered drug discovery company backed by Nvidia, made its Nasdaq debut at an IPO price of $16 per share, surging over 11% to $17.77 and triggering a volatility halt. Recursion Pharmaceuticals (RXRX) rode the momentum, climbing nearly 14% to $4.25.
On the macro front, September's 1.3% month-over-month PPI jump marked the largest increase in over four years, with core PPI also spiking. Wall Street now projects core PCE inflation accelerating to 0.32%. Economists warned that current inflation levels give the Fed little reason to pause, making a pre-December rate hike increasingly likely. UBS forecasts the Fed could deliver a third rate hike as early as March 2027.