Citi Says Buy Nvidia and Broadcom After Semiconductor Stocks Drop on AI Slowdown Fears

TLDR

• Citi is telling investors the semiconductor pullback is a buying opportunity, saying AI spending fears are overdone
• Nvidia and Broadcom management both pushed back on slowdown concerns, with Broadcom targeting $115 billion in AI chip revenue by fiscal 2027
• Anthropic CEO Dario Amodei called for a multilateral AI development slowdown, backed by Sam Altman and Elon Musk
• The Dow fell 152 points, the S&P 500 dropped 37 points, and the Nasdaq slid 146 points on Monday
• Oil futures hit $101.39 a barrel, rising for the ninth time in ten sessions, pushing inflation and rate expectations higher

U.S. stocks fell on Monday as a call for slower AI development rattled semiconductor shares, while Citi told investors the selloff looks like a chance to buy.

The Dow Jones Industrial Average dropped 152.09 points, or 0.29%, to close at 52,421.20. The S&P 500 fell 37 points, or 0.48%, to 7,619.98. The Nasdaq Composite slid 146.62 points, or 0.56%, to 26,186.41.

What Triggered the Selloff

Anthropic CEO Dario Amodei called for a multilateral slowdown in AI model development, citing a whistleblower warning from a former employee about the risks of unchecked AI advances.

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