Chips Waver Near Bear Market, World Cup Hype Grows | Bloomberg Businessweek Daily 7/17/2026

Market Trends and Macro Environment - U.S. equity markets experienced a broad sell-off, with the S&P 500 down 0.9%, the Dow Jones Industrial Average down 0.6%, and the Nasdaq declining 1.3% [6][53][82] - The Philadelphia Semiconductor Index (SOX) entered bear market territory, dropping approximately 10% for the week, despite a 65% year-to-date gain [117][118] - Global commodity prices surged, with WTI crude oil rising 4.3% to $82.37 per barrel and Brent crude up 4.4% to $87.93 per barrel, driven by Middle East tensions [8] - The VIX volatility index climbed above 18, while the 10-year Treasury yield stood at 4.54% [8][53] AI Industry Dynamics and Competitive Landscape - Chinese AI startup Moonshot's new model triggered market concerns regarding potential competition with U.S. frontier models, raising questions about whether China is closing the 6-12 month technology gap [11][35][43] - Enterprises are shifting away from an "AI at all costs" strategy, focusing on token efficiency and measurable returns on investment [79][80] - Alphabet shares declined by approximately 3% due to delays in the release of its Gemini 3.5 Pro model, highlighting the risks of falling behind in the competitive AI race [12][24][25] - Meta Platforms is in discussions to lease computing power to Anthropic in a deal potentially worth $10 billion over two years [56][127] Corporate Performance and Strategic Moves - AlphaSense raised $350 million in a new funding round, nearly doubling its previous valuation, and serves approximately 70% of the S&P 500 [63][64] - Netflix shares fell 7% after forecasting a slowdown in revenue growth to 11.7%, the slowest pace since late 2023 [123][124] - Apple shares rose 0.3% amid reports of potential settlement discussions with the U.S. Department of Justice regarding a 2024 antitrust lawsuit, with the company reaching a market valuation of $4.9 trillion [121][122] - NBCUniversal's Telemundo reported that nearly 50% of U.S. World Cup viewers tuned into Spanish-language coverage, driving significant engagement across its platforms [87][93]