Global stocks slide as AI shares drop, oil hits highest since May

Global stock markets fell sharply Thursday as AI-related stocks dropped worldwide, while oil prices climbed to their highest level since May on concerns about the war with Iran. The S&P 500 tumbled 1.4%, and the Nasdaq composite fell 2.2%. AI stocks have been volatile due to worries about high borrowing costs for data centers and AI chips, plus concerns that prices rose too high during a multiyear rally. Lam Research dropped 9.7% despite beating profit expectations, while Meta Platforms lost 6.4% and Nvidia fell 3.8%. Asian markets saw steeper losses, with South Korea's Kospi down 3.5%. Brent crude rose 2.6% to $111.60 per barrel, near the top of its October range amid uncertainty over the Iran conflict. The 10-year Treasury yield fell to 5.01% as investors sought safer assets, though most S&P 500 stocks rose, led by Procter & Gamble, Lockheed Martin, and CSX after strong earnings.