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Welcome to LazyListen. This is The Daily Rip for today. S.

stocks closed mixed on Thursday, as a sharp pullback in the artificial intelligence trade was masked by strong gains in the energy sector. The market showed a clear split between sectors, with energy surging nearly three percent while technology stocks took a notable hit. The S&P 500 slipped four-tenths of a percent, the Nasdaq 100 dropped one and a third percent, the Russell 2000 held steady, and the Dow Jones Industrial Average eked out a small gain of one-tenth of a percent.

This was far from a quiet session. I. space that rattled tech stocks.

Let’s start with energy, which led the charge. The sector gained three percent, with big oil names like ConocoPhillips and Chevron rising over three percent each. Crude oil prices jumped nearly three percent, fueled by reports that ten tankers were struck by missiles in a key shipping strait through the end of September.

This figure is almost double the number of attacks from the previous week, highlighting escalating geopolitical risks in a critical oil transit route. The increase in oil prices keeps inflation worries alive and supports energy stocks, which investors often see as a hedge against rising prices. On the flip side, technology stocks sold off sharply, dragged down by a major revision to OpenAI’s revenue expectations.

I. boom, reported an annualized revenue run rate of about fifty billion dollars. This was significantly below the seventy billion dollars figure that many investors had been using as a benchmark.

I. trade and weighed heavily on chipmakers and software names. Chip stocks Intel and Micron fell more than five and four percent respectively, while Nvidia dropped three percent.

Other tech names like Oracle and Broadcom also declined between four and six percent. I. growth prospects after the OpenAI update.

It’s important to note that despite the headline revenue miss, OpenAI’s growth remains impressive. The company showed seventy-seven percent total run-rate growth in the third quarter and over one hundred percent growth in its enterprise business. This means the company is still growing at a very fast pace, but from a lower revenue base than previously assumed.

The earlier seventy billion dollar figure included gross revenue generated through OpenAI’s partners, which made it easier to compare with competitors like Anthropic. The new fifty billion dollar figure is more conservative and reflects direct revenue. However, the lower revenue base means OpenAI’s valuation, reportedly targeting over eight hundred billion dollars in a new funding round that could raise roughly thirty billion dollars, looks even more stretched relative to its sales.

Investors are now questioning whether the company’s sky-high valuation can be justified given the revised revenue expectations. I. contracts and custom software solutions.

I. space may benefit from government contracts and tailored software offerings, which could provide a steadier revenue stream compared to packaged applications. Meanwhile, Applied Optoelectronics plunged fourteen percent following a six hundred million dollar at-the-market share sale that diluted existing shareholders.

This dilution weighed heavily on the stock, as investors digested the impact of the new shares hitting the market. I. infrastructure space, which has been under pressure recently.

Cipher Digital also slid over seven percent amid Bitcoin weakness and rising long-term yields. I. data centers, but the combination of a weak cryptocurrency market and higher borrowing costs is making that transition challenging.

I. and infrastructure modernization. I.

I. adoption across enterprises. I.

stocks pull back. Looking beyond individual stocks, eight sectors finished the day in the green, but energy’s nearly three percent gain was the standout. Technology was the only major sector to fall significantly, down nearly two percent.

The Dow Jones Industrial Average managed a small gain thanks to its heavy weighting in energy and industrial stocks, while the Russell 2000 small-cap index held flat. Turning to the broader market context, the jump in oil prices and the geopolitical risks behind it keep inflation concerns front and center for investors. I.

space. Looking ahead to Friday, investors will be watching several key economic data points. m.

Eastern, providing a fresh read on the labor market’s health. , offering insight into how consumers feel about the economy amid inflation and interest rate concerns. The Kansas City Fed president is also scheduled to speak mid-morning, and factory orders data will be released at the same time, giving further clues on manufacturing activity.

On the earnings front, Delta Air Lines reports before the open, which will be closely watched for signs of travel demand and pricing power. Lunai Bioworks will release results after the bell. Thanks for listening.

Catch you next time on LazyListen.