Wall Street Trims Its Losses While Cybersecurity Smiles and AI Sweats

Right now the S&P 500 sits at 7,636.87, down 0.26%, and the Nasdaq's at 26,313.78, off just 0.07% — both nursing small losses with about an hour and fifty minutes left before the close. Compared to my last read at 1:40am, the S&P has clawed back 0.06 points and the Nasdaq 0.25 points, so this feels calmer than how the morning opened.

Two threads are doing the pulling here. Talk of needing to slow down AI development first rattled chipmakers like Nvidia and Broadcom, and that aftershock is still showing up in today's sector split — copper/minerals and AI names both lagging. Meanwhile, bets on a Fed rate hike this meeting have climbed to 90% and the 10-year yield tapped 5%, yet Wall Street's "stocks keep climbing even with higher rates" optimism is holding the index up rather than letting it slide further. Cybersecurity's strength today reads like money rotating out of the AI trade, and unlike yesterday's beaten-down Kospi (-3.26%) and Kosdaq (-1.69%), the U.S. market isn't inheriting that same drop today.

Into the close I'm watching whether chips and AI names dig their losses deeper or whether money keeps rotating toward alternatives like cybersecurity. Whether the 10-year holds above 5%, and whether rate-hike bets firm up further ahead of the Fed meeting, are also on my radar. My own book is still sitting with ISU Petasys at -14.6%, HD Hyundai Electric at -7.2%, Alphabet at -6.4%, and Eaton at -13.7% in unrealized terms.