Finance

The semiconductor rout worsened as the PHLX Semiconductor Index plummeted, ending the week down roughly 10% and multi-percentage points below its June peak. Investor anxiety escalated following the launch of a highly competitive new artificial intelligence model from China's Moonshot AI, which prompted funds to rotate capital out of expensive U.S. chipmakers.

Crude oil prices surged significantly over the week, with Brent crude logging strong gains as the military conflict between the U.S. and Iran expanded to target key infrastructure. The renewed fighting and disruptions around the strategic Strait of Hormuz sparked fresh concerns that rising energy costs could revive inflationary pressures.

The S&P 500 communication services sector suffered heavy losses, heavily weighed down by a sharp drop in Netflix shares. The streaming pioneer tumbled after delivering a weaker-than-expected revenue outlook for the third quarter, pulling down prominent peer megacap tech and media companies.