GoAI Market Wrap - 13th Feb

Stock Market

U.S. equities took a heavy hit on Thursday as anxiety over AI-driven disruption reached a fever pitch. All three major indices slid more than 1%, with the Nasdaq pacing the decline with a 2% drop.

By the close, the Dow Jones Industrial Average had shed 1.34% to 49,451.98, while the S&P 500 and Nasdaq Composite slid 1.57% and 2.03% to end at 6,832.76 and 22,597.15, respectively.

The market narrative has shifted. Investors are increasingly wary of "AI disruption" hitting sectors like software, publishing, and financial services. The fear is that new AI tools will either replicate existing business models or aggressively erode margins.

Financial heavyweights like Morgan Stanley faced pressure on concerns that AI could upend wealth management, while logistics giant C.H. Robinson plummeted 14% as traders bet AI will optimize freight operations and squeeze traditional revenue streams.

Even real estate was caught in the crosshairs, with CBRE and SL Green Realty sliding on fears that AI-related job losses could further dampen office demand.

"AI was the sole engine driving these valuations to extreme—though perhaps not absurd—levels. Now, it’s becoming the primary headwind," said Jay Woods, Chief Market Strategist at Freedom Capital Markets.

Ed Yardeni, President of Yardeni Research, added: "Investors are jittery about AI’s impact, both positive and negative. Right now, they are laser-focused on the disruptive side."

Defensive plays offered a rare sanctuary, with Walmart and Coca-Cola rising 3.8% and 0.5% respectively. Consumer Staples and Utilities were the top-performing sectors, with Staples hitting a fresh record close.

Meanwhile, Apple tumbled 5%, erasing its year-to-date gains following reports that the upgraded Siri project has hit further snags, potentially delaying key AI features until May or later.

Global Markets

Trump: U.S. "Must" Reach Iran Deal to Avoid "Very Serious" Situation

President Trump stated on February 12 that a deal with Iran is essential, warning of "very serious" consequences otherwise. He also clarified that Israeli PM Netanyahu has not requested a halt to negotiations.

Trump Rescinds EPA "Endangerment Finding" on Greenhouse Gases

In a major regulatory pivot, President Trump announced the formal revocation of the EPA’s 2009 finding that greenhouse gases endanger public health. Trump claimed the move would save $1.3 trillion in regulatory costs and lead to lower vehicle prices.

Algo-Selling Triggers Brutal Sell-off in Gold and Silver

Precious metals were swept up in the broader market rout on Thursday. Gold suffered a sharp decline as algorithmic traders intensified the sell-off following the slump in U.S. equities. Silver and copper followed suit. While there was no clear catalyst for gold’s drop, the risk-off sentiment triggered a liquidation of diversified assets.

Corporate News

EU Launches Fresh Antitrust Probe into Google’s Ad Pricing

Google is back in the EU's crosshairs. Regulators are investigating whether the tech giant illegally manipulated search ad pricing. The European Commission suspect Google "artificially inflated" winning bids in ad auctions, potentially violating competition rules which carry fines of up to 10% of global annual turnover.

OpenAI Debuts First Model Powered by Cerebras Chips

OpenAI has released GPT-5.3-Codex-Spark, its first model utilizing chips from semiconductor startup Cerebras Systems. This lightweight, high-speed version of its Codex software is designed to compete directly with Google and Anthropic in the AI coding assistant market.

Anthropic Closes $30B Round, Valuation Hits $3800B

AI powerhouse Anthropic announced a massive $30 billion funding round, catapulting its valuation to $380 billion. The round, led by Coatue and GIC, includes previously pledged funds from Microsoft and NVIDIA. The capital is earmarked for infrastructure expansion and enterprise product development.

Google Rolls Out Gemini 3 Update

Alphabet launched the Gemini 3 "Deep Think" reasoning mode on Thursday. Aimed at ultra-subscribers and API users, the update is optimized for complex scientific and engineering applications.

Apple Watch: iPhone 17e and M4 iPad Air Expected Soon

Bloomberg’s Mark Gurman reports that stocks of the iPhone 16e and current iPad Air are nearing depletion. He expects Apple to unveil the iPhone 17e and an M4-powered iPad Air within the coming weeks.

Forex & Commodities

WTI Crude settled down 2.77% at $62.84/bbl, while Brent fell 2.71% to $67.52/bbl.

The sell-off in metals was even more dramatic: COMEX Gold plunged 3.08% to $4,941.40/oz, and COMEX Silver cratered 10.62% to $75.01/oz.

The U.S. Dollar Index (DXY) edged up 0.1% to 96.928.

Key Events

U.S. Energy Secretary: Venezuela Oil Sales Could Generate $5B in Coming Months

Energy Secretary Chris Wright stated that U.S.-managed sales of Venezuelan crude have already surpassed $1 billion.

With much of the oil being processed in U.S. refineries, Wright expects an additional $5 billion in revenue to be funneled to the Venezuelan interim government in the near term.

Cryptocurrency

Key Events

Standard Chartered Warns of Further Crypto Downside

Geoff Kendrick of Standard Chartered noted that Bitcoin and Ethereum could extend their declines as risk appetite wanes.

With a weakening U.S. economy and the potential for a more hawkish Fed under Kevin Warsh, Kendrick suggests Bitcoin could test $50,000, while Ethereum may hit $1,400.