Quick Take

US technology stocks declined on Thursday after reports about OpenAI’s revenue raised doubts about the financial returns from AI investment. The Nasdaq Composite fell 1.25%, while the Philadelphia Semiconductor Index dropped 3.4%. US equities recovered on Friday, but investors are still assessing whether AI companies can generate enough revenue to support their large infrastructure investments. For traders in the Philippines, the story is relevant to global equity sentiment, the US dollar, gold and oil.

Full Article

OpenAI Revenue Report Raises Questions About AI Valuations

US technology stocks came under pressure on Thursday, 8 October 2026, after a report about OpenAI’s revenue outlook led investors to reassess expectations for the artificial intelligence sector.

The Nasdaq Composite declined 1.25%, while the S&P 500 fell 0.47%. The Dow Jones Industrial Average edged up 0.10%, reflecting the concentration of selling in technology and semiconductor stocks.

The report placed OpenAI’s annualised revenue at nearly $50 billion at the end of September, below a previously reported figure of around $70 billion. However, the difference partly reflects how the companies account for revenue generated through cloud partners.

OpenAI excludes certain partner sales from its calculation, whereas Anthropic includes some revenue generated through providers such as Amazon Web Services and Google Cloud. The figures are therefore not directly comparable. Even so, the report prompted investors to question whether the growth of AI-related businesses will translate into sustainable profits and justify the substantial cost of computing infrastructure.

Semiconductor Stocks Lead the Decline

The Philadelphia Semiconductor Index fell 3.4% on Thursday. Nvidia dropped 2.9%, Advanced Micro Devices declined 3.9%, Micron Technology lost 4.8%, Broadcom fell 4.4%, and Oracle declined 5.5%.

The reaction highlights how developments involving one major AI company can influence the wider technology sector. Semiconductor manufacturers provide computing power for AI systems, while cloud and infrastructure companies commit significant capital to meet expected demand. If the market questions the financial returns from these investments, valuations across the sector can come under pressure.

US stocks recovered on Friday, 9 October. The Nasdaq Composite gained 0.64% to close at 27,366.17, while the S&P 500 rose 0.58% to 7,811.54. The rebound followed renewed reporting about OpenAI’s revenue outlook, although the longer-term direction remains dependent on earnings, spending plans and investor confidence.

Why Philippine Traders Should Pay Attention

For traders in the Philippines, movements in US technology stocks can offer insight into global risk appetite. Investors who follow US indices or internationally listed technology shares should distinguish between short-term market sentiment and changes in underlying company performance.

The US dollar is also worth monitoring. Shifts in Federal Reserve expectations and US Treasury yields can affect global capital flows and currency markets. For Philippine traders watching USD/PHP, however, domestic inflation, Bangko Sentral ng Pilipinas policy, trade flows and local demand for foreign currency also matter. A stronger or weaker dollar globally does not automatically translate into an equivalent move in the peso.

Gold may attract attention when market uncertainty increases, but its direction also depends on yields and the dollar. Oil prices matter for the Philippines because the country relies on imported petroleum, making sustained changes in global crude prices relevant to fuel costs and inflation expectations.

The immediate question for stock traders is whether the Nasdaq’s Friday recovery can continue. A sustained rebound across semiconductor shares would suggest broader improvement in sentiment, while renewed selling could indicate that concerns about AI valuations remain unresolved.

Key Market Impact

  • US indices: The Nasdaq and S&P 500 recovered after Thursday’s decline.
  • AI and semiconductor stocks: Nvidia, AMD, Micron, Broadcom and Oracle were affected by changing AI revenue expectations.
  • USD/PHP: Global dollar movements and US interest-rate expectations may influence the currency, alongside Philippine-specific factors.
  • Oil and gold: Oil prices matter for imported fuel costs, while gold responds to the dollar, yields and demand for defensive assets.

Trader Insight

The key is to avoid confusing a change in reported revenue with a confirmed collapse in AI demand. Accounting differences explain part of the gap, while future earnings and company guidance will help establish whether AI investment is generating adequate returns. Philippine traders should also consider local currency and inflation factors rather than relying solely on US market movements.

What to Watch Next

  • Third-quarter earnings and guidance from major US technology and semiconductor companies.
  • Further updates on OpenAI’s revenue and AI infrastructure investment.
  • Nasdaq and semiconductor price action.
  • US Treasury yields and dollar strength.
  • USD/PHP, domestic inflation developments, oil prices and gold.