US Stocks Drift as Intel Announces $15 Billion Stock Sale

US stock markets drifted near all-time highs on Monday, with the S&P 500 and Nasdaq posting slight gains while the Dow Jones Industrial Average declined. Investors shifted focus toward upcoming inflation data and earnings reports from Cisco Systems Inc., Lumentum Holdings Inc., and Applied Materials Inc. to evaluate artificial intelligence trade valuations.

Intel Corp. shares fell between 4.2% and 5% after the company announced a $15 billion common stock offering intended to fund AI data center investments. Other corporate movements included Apple shares dropping 2.4% following a downgrade by Jefferies, and Barrick Mining shares declining up to 9.7% after reaching an agreement with Newmont Corp. regarding an IPO of North American assets.

In contrast, Berkshire Hathaway Inc. shares rose after the conglomerate reported stronger-than-expected profits and disclosed $4.5 billion in second-quarter share buybacks. In the M&A sector, Blackstone agreed to acquire MarineMax for approximately $1.5 billion, and Teledyne Technologies announced the acquisition of Varex Imaging.

Market participants are now awaiting Wednesday's CPI and PPI data to gauge the Federal Reserve System's interest rate path for September. This follows a July jobs report showing unexpected losses, which some investors believe could delay rate hikes. Meanwhile, Brent crude oil prices rose 2.8% to $85.86 due to uncertainty over the Strait of Hormuz and stalled negotiations between the United States and Iran.