The Nasdaq Composite surged 2.3% to a record close of 27,122.09 on Monday, fueled by a broad AI-driven rally. Meta jumped 11.4% after strong early reception for its Muse AI assistant, while AMD gained about 10% and briefly reached a $1 trillion valuation. Intel climbed 12.2% and Arm soared 17%. The rally extended into Asia, where South Korea's Kospi gained nearly 2% and Taiwan rose 1.3%. Bitcoin also climbed above $87,000 for the first time in eight months.
Key Takeaways
- <ul><li>Nasdaq Composite hit a record high of 27,122.09, up 2.3% on Monday</li><li>Meta surged 11.4% on strong reception for its Muse AI assistant</li><li>AMD became the 14th US company to reach a $1 trillion market cap</li><li>Intel rose 12.2% and Arm soared 17% amid the AI rally</li><li>California Governor Newsom proposed an AI kill switch for dangerous models</li><li>US and China plan an AI hotline ahead of Trump-Xi summit</li><li>OpenAI improved prompt caching for GPT-6, offering developers up to 90% discounts</li><li>Zeliq raised €7 million to launch its AI sales agent Zelia</li><li>Senate Democrats criticized Trump for allowing China access to sensitive AI technology</li><li>Texas Instruments stock rose over 12% in Q2 2026 on AI infrastructure demand</li></ul>
Nasdaq hits record high as AI stock rally spreads globally
The Nasdaq Composite surged 2.3% to a record close of 27,122.09 on Monday. Meta jumped 11.4% after strong early reception for its Muse AI assistant. AMD gained about 10% and reached a $1 trillion valuation while Intel climbed 12.2% and Arm soared 17%. The rally spread into Asia with South Korea's Kospi gaining nearly 2% and Taiwan rising 1.3%. Bitcoin also climbed above $87,000 for the first time in eight months.
US stock futures mixed after AI rally as Trump-Xi summit approaches
US stock futures traded mixed late Monday with Dow futures declining 0.16% while S&P 500 gained 0.01% and Nasdaq-100 edged 0.31% higher. On Monday the Nasdaq Composite closed up 2.26% and the Dow rose 0.71%. AMD became the 14th US company to reach a $1 trillion market cap. JPMorgan CEO Jamie Dimon said AI spending could reach $1 trillion next year. Markets are turning attention to a Trump-Xi summit where tariffs and AI will be discussed. The US-China trade truce expires in early November.
QQQ surges 2.77% as AI stocks rally and Treasury yields fall
The Invesco QQQ Trust surged 2.77% on Monday to close at $741.47, extending its winning streak to four sessions. The tech ETF neared its 52-week high of $748.65. AMD briefly reached $1 trillion market cap for the first time. Meta shares jumped 11.4% after a price-target upgrade. The US 10-year Treasury yield fell below 5%. QQQ is now up about 20.7% in 2026 with major holdings including Nvidia, Apple, Microsoft and AMD.
Newsom proposes AI kill switch as experts debate feasibility
California Governor Gavin Newsom issued an executive order calling for a kill switch to shut down powerful AI models if they become dangerous. The kill switch would involve protocols from major labs verified by independent organizations rather than a literal button. Experts said advanced AI could potentially outsmart or resist shutdown. Newsom directed state agencies to recommend ways to strengthen AI laws within two months. A federal AI Safety Act bill was introduced in July but no one has yet built an effective kill switch.
US and China plan AI hotline but experts question effectiveness
US President Trump and China's President Xi Jinping are expected to discuss AI governance at a summit in Washington on Thursday. Treasury Secretary Scott Bessent met with Chinese Vice Premier He Lifeng to prepare for the talks. Experts say a hotline could help prevent AI-triggered accidents from escalating into armed conflict. However, it remains unclear what actions the receiving country could actually take if a rogue AI hacks banks globally. Neither the US nor China has enacted rules requiring AI models to have a kill switch.
OpenAI improves prompt caching for GPT-6
OpenAI announced better prompt caching for GPT-6 on September 22, 2026. The update raises cache hit rates and gives developers discounts of up to 90% on cached input tokens. New tools help developers monitor cache performance, diagnose misses, and prewarm cache to reduce latency. GitHub Copilot reported cutting fresh prompt token processing by over 50% across billions of requests.
Zeliq raises €7M to launch AI sales agent
Paris-based startup Zeliq raised a €7 million seed extension led by The Moon Venture. The company grew its users from 2,000 to 20,000 and tripled its revenue before closing the round. Its AI sales agent called Zelia helps sales teams find relevant contacts and set up outreach sequences. The product is aimed at sales teams of five to fifty members in over 100 countries.
AI regulation keynote speaker available for events
Scott Steinberg is an AI regulation keynote speaker and artificial intelligence futurist consulting expert. He has served over 3,000 brands for corporate meetings and events. His work focuses on ML automation and IT topics. The service is listed through Futurists Speakers.
AI infrastructure boom drives Texas Instruments stock up
Texas Instruments saw its stock price rise over 12% in the second quarter of 2026. The rally was driven in part by the boom in AI infrastructure. The company focuses on developing and manufacturing semiconductors. Heartland Advisors included Texas Instruments in its second-quarter 2026 investor letter.
Senate Democrats criticize Trump on China AI access
Senior Senate Democrats said President Trump is failing to block China from accessing sensitive American AI technology. Lawmakers including Mark Warner, Elizabeth Warren, and Andy Kim signed a joint statement on September 22, 2026. They urged Trump to close loopholes in U.S. export controls on advanced chips and manufacturing equipment. Trump had paused an expanded Commerce Department blacklist for one year and allowed China to buy advanced AI chips including Nvidia's H200.
AI Cuts WWI Film Production by Eight Days
Goodfellas CEO Vincent Maraval spoke at San Sebastián about how AI reduced production on Michel Hazanavicius's WWI film The Third Hand. Without AI the battle scenes would take ten days to shoot but with AI they take only two days. Maraval said using AI helps filmmakers tell stories they could not otherwise make. He also discussed how private equity now funds more films and how local markets are growing. He stressed that new technology can make films more profitable.
Stigler Center Seeks Papers on AI Markets and Democracy
The Stigler Center issued a call for papers for its 2027 annual conference on whether AI could harm markets and democracy. The conference will take place on April 15 and 16 and the submission deadline is December 1 2026. Topics include AI lobbying automation in the public sector and the global AI race. Submissions can be full working papers or extended abstracts up to 3000 words. Selected presenters will share their research at the conference.
Sources
- IXIC: Nasdaq Composite Hits Record as Tech-Led AI Rally Spreads Worldwide
- Dow Futures Slip While S&P 500, Nasdaq Futures Climb After AI Rally: GME, IBRX, AMD, PSKY Stocks In Focus
- Why is QQQ rising? AI stocks rally as Treasury yields fall below 5%
- Gov. Newsom wants an AI kill switch. Is that even possible?
- Beijing and Washington talk about an AI hotline. But who will answer the call?
- Better prompt caching for GPT-6
- Exclusive: Zeliq raises €7M seed extension to launch its AI sales agent. Here's its pitch deck
- AI Regulation Keynote Speaker
- AI infrastructure Boom Fuels Texas Instruments’ (TXN) Rally
- Trump failing to block China’s access to American AI technology, say senior Senate Democrats
- Michel Hazanavicius Cut Eight Days From 'The Third Hand' With AI
- Call for Papers for 2027 Stigler Center Conference: Will AI Kill Markets (and Democracy)?
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