AM Markets Need to Know: OpenAI chip deal, oil prices dip, and more

Stock futures slipped as hopes for a 10-day ceasefire between Lebanon and Israel and a possible U.S.-Iran diplomatic opening eased Middle East risk, weighing on oil prices. Geopolitical anxiety remains after reports of Russia planning a nuclear space weapon, a potential downside risk to markets. A major development for the AI sector — OpenAI’s reported $20 billion agreement with Cerebras to use its chips and invest in data centers — underlines continued heavy spending on AI infrastructure and could benefit chip and data-center related stocks, including Nvidia. Overall the note is a mixed market read: easing geopolitical risk helped risk assets and pressured oil, while large AI infrastructure deals support tech/AI-related equities.