Dow rises 200 points as oil falls and chip stocks rally ahead of a Fed decision

The Dow Jones Industrial Average rose 212 points, or 0.4%, in early trading Monday as chip stocks gained and oil prices fell ahead of the Federal Reserve's policy decision on Wednesday. The S&P 500 and the Nasdaq $NDAQ Composite each gained 0.3%.

Chip and other AI-related stocks moved higher after Anthropic made its paperwork for a stock market debut public. The company intends to have its shares trade on the Nasdaq, using the symbol "ANT." Nvidia $NVDA stock rose 1.4%, Micron $MU stock gained 2.3%, Broadcom $AVGO stock added 1.5% and Advanced Micro Devices stock climbed 1.3%.

Anthropic was widely anticipated to target a valuation reaching $2 trillion, according to The Wall Street Journal. That would surpass the mark SpaceX established with its offering in June. Some investors have urged a more modest valuation, citing Anthropic's most recent revenue numbers and several scrapped IPOs from other AI-related companies, according to The Wall Street Journal, which also said the filing sets the company up for a November listing.

Brent futures were down 1.4% at $115.02 a barrel, with U.S. West Texas Intermediate off 2% at $101.01. Brent had climbed to its loftiest mark since April on reports that Washington and Israel might be preparing strikes against Iran following the midterm elections, according to CNBC.

Fed funds futures indicate a 90% chance that policymakers will leave rates unchanged within the existing 3.75% to 4% target band, according to CNBC.

Neocloud stocks fell after Elon Musk warned that upward of 200 firms in the industry are facing "guppy-level death," according to CNBC. CoreWeave stock slid, according to The Wall Street Journal. Investors have feared that these companies are taking on excessive debt to scale up their artificial intelligence operations, according to CNBC.

Meta $META stock fell after the company unveiled a sale of new equity meant to help cover its AI spending, according to The Wall Street Journal.

The iShares MSCI Brazil ETF plunged 25% after Brazil's president, Luiz Inácio Lula da Silva, was re-elected on Sunday with a victory over Senator Flávio Bolsonaro.

Wall Street heads into the new week after a down stretch propelled by surging crude costs and wide-ranging selling across sectors. The S&P 500 and the Nasdaq each posted a second straight weekly loss.