Trump Dismisses AI Fears as 'Hoax', Treasury Yields Rise and Bank of America Forecasts Fee Drop
Stock markets opened lower amid concerns over a potential slowdown in artificial intelligence development, with the Nasdaq Composite down slightly after earlier losses. Technology stocks like Micron and Nvidia fell due to fears around AI regulation, though cybersecurity firms helped cushion broader declines. President Donald Trump dismissed calls for an AI slowdown as a 'hoax,' criticizing those opposing data centers while Microsoft introduced new guidelines restricting future AI models. This followed similar moves by Anthropic and OpenAI. The 10-year Treasury yield climbed to its highest level since 2007, signaling rising inflation concerns. Bank of America CEO Brian Moynihan warned that investment banking fees are expected to fall more than 10% in Q3 compared to last year due to a broader market slowdown. His comments contributed to Bank of America shares dropping over 5%, raising questions about the sustainability of AI-driven growth on Wall Street.
Topics: AI industry concerns Federal Reserve President Trump Treasury yields