Key facts
- Brent crude rose 2.6% to $111.66 a barrel, a five-month high.
- The Nasdaq fell 1.5% and the S&P 500 lost 0.8%.
- South Korea's Kospi fell 3.52%, Nikkei 225 dropped 2.65%, Hang Seng lost 3.03%.
- China's CSI 300 entered a bear market.
- Meta shares dropped 5.8% after missing profit forecasts.
- Lam Research shares slid 7.7% after guiding profit below estimates.
US stocks declined as oil prices surged and concerns grew around AI-linked stocks. Brent crude, the global benchmark, rose 2.6% to $111.66 a barrel, its highest in five months, amid renewed fears of supply disruptions. The Nasdaq fell 1.5% and the S&P 500 lost 0.8% by mid-morning in New York. Asian markets also saw significant drops, with South Korea's Kospi down 3.52%, Japan's Nikkei 225 off 2.65%, and Hong Kong's Hang Seng losing 3.03%. China's CSI 300 entered a bear market. Meta dropped 5.8% after missing profit forecasts, and Lam Research slid 7.7% after guiding profit below estimates. Citadel founder Ken Griffin commented that investors are 'almost certainly' in an AI bubble.