World
AI Analysis
US software stocks slump on renewed AI disruption jitters
AI
AI Legal Analyst
Summary
Click here to return to FAST Tap here to return to FAST FAST April 9 : U.S. software shares tumbled on Thursday as fears over disruptions from advances in AI returned to the forefront following a recent update from Anthropic. CNA Games Guess Word Crack the word, one row at a time Buzzword Create words using the given letters Mini Sudoku Tiny puzzle, mighty brain teaser Mini Crossword Small grid, big challenge Word Search Spot as many words as you can Show More Show Less Earlier this week, Anthropic launched a powerful AI model but held off on releasing it widely over concerns that it could expose hidden cybersecurity vulnerabilities. Only a group of around 40 tech heavyweights, including Microsoft and Google, would have access to Anthropic's "Claude Mythos" model. "If Mythos is that strong and that powerful and it's exposing these vulnerabilities that have been around for years, it just shows one, the weakness of the current software that's out there and two, that AI is still making incredible progress versus legacy software companies," said Michael O'Rourke, chief market strategist at JonesTrading. Source: Reuters Newsletter Week in Review Subscribe to our Chief Editor’s Week in Review Our chief editor shares analysis and picks of the week's biggest news every Saturday.
## Summary
Click here to return to FAST Tap here to return to FAST FAST April 9 : U.S. software shares tumbled on Thursday as fears over disruptions from advances in AI returned to the forefront following a recent update from Anthropic. CNA Games Guess Word Crack the word, one row at a time Buzzword Create words using the given letters Mini Sudoku Tiny puzzle, mighty brain teaser Mini Crossword Small grid, big challenge Word Search Spot as many words as you can Show More Show Less Earlier this week, Anthropic launched a powerful AI model but held off on releasing it widely over concerns that it could expose hidden cybersecurity vulnerabilities. Only a group of around 40 tech heavyweights, including Microsoft and Google, would have access to Anthropic's "Claude Mythos" model. "If Mythos is that strong and that powerful and it's exposing these vulnerabilities that have been around for years, it just shows one, the weakness of the current software that's out there and two, that AI is still making incredible progress versus legacy software companies," said Michael O'Rourke, chief market strategist at JonesTrading. Source: Reuters Newsletter Week in Review Subscribe to our Chief Editor’s Week in Review Our chief editor shares analysis and picks of the week's biggest news every Saturday.
## Article Content
Advertisement
Business
US software stocks slump on renewed AI disruption jitters
FILE PHOTO: Anthropic logo is seen in this illustration taken May 20, 2024. REUTERS/Dado Ruvic/Illustration/File Photo
09 Apr 2026 11:27PM
(Updated: 10 Apr 2026 12:24AM)
Bookmark
Bookmark
Share
WhatsApp
Telegram
Facebook
Twitter
Email
LinkedIn
Set CNA as your preferred source on Google
Add CNA as a trusted source to help Google better understand and surface our content in search results.
Read a summary of this article on FAST.
Get bite-sized news via a new
cards interface. Give it a try.
Click here to return to FAST
Tap here to return to FAST
FAST
April 9 : U.S. software shares tumbled on Thursday as fears over disruptions from advances in AI returned to the forefront following a recent update from Anthropic.
Investors have dumped the sector's stocks this year on worries that AI tools that are capable of automating human tasks could pose an existential threat to the industry. The broader S&P 500 Software and Services Index is down 25.5 per cent this year, including Thursday's decline of 2.6 per cent.
Optimism around a U.S.-Iran ceasefire that lifted broader risk appetite kept the concerns on the sidelines on Wednesday. But with the truce looking fragile, the worries are quickly reasserting themselves.
"We're getting back to being concerned about the prior software-specific concerns stemming from AI and private credit that are coming back to the fore," said Steve Sosnick, chief market analyst at Interactive Brokers.
CNA Games
Guess Word
Crack the word, one row at a time
Buzzword
Create words using the given letters
Mini Sudoku
Tiny puzzle, mighty brain teaser
Mini Crossword
Small grid, big challenge
Word Search
Spot as many words as you can
Show More
Show Less
Earlier this week, Anthropic launched a powerful AI model but held off on releasing it widely over concerns that it could expose hidden cybersecurity vulnerabilities.
Only a group of around 40 tech heavyweights, including Microsoft and Google, would have access to Anthropic's "Claude Mythos" model.
"If Mythos is that strong and that powerful and it's exposing these vulnerabilities that have been around for years, it just shows one, the weakness of the current software that's out there and two, that AI is still making incredible progress versus legacy software companies," said Michael O'Rourke, chief market strategist at JonesTrading.
GROWTH UNDER SIEGE
The moves underscore how one of Wall Street's favorite trades has turned into a headache as AI upends the software industry.
"Whether AI spells the end of the software business is an open question. Given the unprecedented dynamism and speed of AI, we do not pretend to have the answers," said Michael Clarfeld, portfolio manager at ClearBridge Investments.
Cybersecurity firms Cloudflare, Okta, CrowdStrike and SentinelOne dropped between 4.9 per cent and 6.5 per cent.
Zscaler was among the biggest decliners on the S&P 500 on Thursday, down 8.8 per cent after brokerage BTIG downgraded the stock to "neutral" from "buy", citing concerns over demand and potential competition.
The company is trading at 31.4 times expected earnings over the next 12 months - near the bottom of its historical range - compared to a multiple of 55.4 at the beginning of the year, according to LSEG data.
Enterprise software developer Atlassian, human resources software provider Workday, Photoshop maker Adobe, enterprise cloud firm Salesforce and TurboTax-parent Intuit dropped between 3.7 per cent and 6.8 per cent.
The anxiety is also creeping into private credit as investors scrutinize lending to technology companies amid doubts over future growth.
Carlyle Group shares dipped 1.5 per cent as the company's flagship private-credit interval fund became the latest to be hit by a wave of redemptions.
In Europe, SAP Global, Capgemini and Temenos fell between 3 per cent and 7 per cent.
Source: Reuters
Newsletter
Week in Review
Subscribe to our Chief Editor’s Week in Review
Our chief editor shares analysis and picks of the week's biggest news every Saturday.
Sign up for our newsletters
Get our pick of top stories and thought-provoking articles in your inbox
Subscribe here
Get the CNA app
Stay updated with notifications for breaking news and our best stories
Download here
Get WhatsApp alerts
Join our channel for the top reads for the day on your preferred chat app
Join here
Advertisement
Also worth reading
Content is loading...
Advertisement
Expand to read the full story
Get bite-sized news via a new
cards interface. Give it a try.
Click here to return to FAST
Tap here to return to FAST
FAST
---
## Expert Analysis
### Merits
- Only a group of around 40 tech heavyweights, including Microsoft and Google, would have access to Anthropic's "Claude Mythos" model. "If Mythos is that strong and that powerful and it's exposing these vulnerabilities that have been around for years, it just shows one, the weakness of the current software that's out there and two, that AI is still making incredible progress versus legacy software companies," said Michael O'Rourke, chief market strategist at JonesTrading.
### Areas for Consideration
- Investors have dumped the sector's stocks this year on worries that AI tools that are capable of automating human tasks could pose an existential threat to the industry.
- Optimism around a U.S.-Iran ceasefire that lifted broader risk appetite kept the concerns on the sidelines on Wednesday.
- CNA Games Guess Word Crack the word, one row at a time Buzzword Create words using the given letters Mini Sudoku Tiny puzzle, mighty brain teaser Mini Crossword Small grid, big challenge Word Search Spot as many words as you can Show More Show Less Earlier this week, Anthropic launched a powerful AI model but held off on releasing it widely over concerns that it could expose hidden cybersecurity vulnerabilities.
### Implications
- Advertisement Business US software stocks slump on renewed AI disruption jitters FILE PHOTO: Anthropic logo is seen in this illustration taken May 20, 2024.
- Investors have dumped the sector's stocks this year on worries that AI tools that are capable of automating human tasks could pose an existential threat to the industry.
- CNA Games Guess Word Crack the word, one row at a time Buzzword Create words using the given letters Mini Sudoku Tiny puzzle, mighty brain teaser Mini Crossword Small grid, big challenge Word Search Spot as many words as you can Show More Show Less Earlier this week, Anthropic launched a powerful AI model but held off on releasing it widely over concerns that it could expose hidden cybersecurity vulnerabilities.
- The anxiety is also creeping into private credit as investors scrutinize lending to technology companies amid doubts over future growth.
### Expert Commentary
This article covers software, per, cent topics. Notable strengths include discussion of software. Areas of concern are also raised. Readability: Flesch-Kincaid grade 0.0. Word count: 748.
Click here to return to FAST Tap here to return to FAST FAST April 9 : U.S. software shares tumbled on Thursday as fears over disruptions from advances in AI returned to the forefront following a recent update from Anthropic. CNA Games Guess Word Crack the word, one row at a time Buzzword Create words using the given letters Mini Sudoku Tiny puzzle, mighty brain teaser Mini Crossword Small grid, big challenge Word Search Spot as many words as you can Show More Show Less Earlier this week, Anthropic launched a powerful AI model but held off on releasing it widely over concerns that it could expose hidden cybersecurity vulnerabilities. Only a group of around 40 tech heavyweights, including Microsoft and Google, would have access to Anthropic's "Claude Mythos" model. "If Mythos is that strong and that powerful and it's exposing these vulnerabilities that have been around for years, it just shows one, the weakness of the current software that's out there and two, that AI is still making incredible progress versus legacy software companies," said Michael O'Rourke, chief market strategist at JonesTrading. Source: Reuters Newsletter Week in Review Subscribe to our Chief Editor’s Week in Review Our chief editor shares analysis and picks of the week's biggest news every Saturday.
## Article Content
Advertisement
Business
US software stocks slump on renewed AI disruption jitters
FILE PHOTO: Anthropic logo is seen in this illustration taken May 20, 2024. REUTERS/Dado Ruvic/Illustration/File Photo
09 Apr 2026 11:27PM
(Updated: 10 Apr 2026 12:24AM)
Bookmark
Bookmark
Share
Telegram
Set CNA as your preferred source on Google
Add CNA as a trusted source to help Google better understand and surface our content in search results.
Read a summary of this article on FAST.
Get bite-sized news via a new
cards interface. Give it a try.
Click here to return to FAST
Tap here to return to FAST
FAST
April 9 : U.S. software shares tumbled on Thursday as fears over disruptions from advances in AI returned to the forefront following a recent update from Anthropic.
Investors have dumped the sector's stocks this year on worries that AI tools that are capable of automating human tasks could pose an existential threat to the industry. The broader S&P 500 Software and Services Index is down 25.5 per cent this year, including Thursday's decline of 2.6 per cent.
Optimism around a U.S.-Iran ceasefire that lifted broader risk appetite kept the concerns on the sidelines on Wednesday. But with the truce looking fragile, the worries are quickly reasserting themselves.
"We're getting back to being concerned about the prior software-specific concerns stemming from AI and private credit that are coming back to the fore," said Steve Sosnick, chief market analyst at Interactive Brokers.
CNA Games
Guess Word
Crack the word, one row at a time
Buzzword
Create words using the given letters
Mini Sudoku
Tiny puzzle, mighty brain teaser
Mini Crossword
Small grid, big challenge
Word Search
Spot as many words as you can
Show More
Show Less
Earlier this week, Anthropic launched a powerful AI model but held off on releasing it widely over concerns that it could expose hidden cybersecurity vulnerabilities.
Only a group of around 40 tech heavyweights, including Microsoft and Google, would have access to Anthropic's "Claude Mythos" model.
"If Mythos is that strong and that powerful and it's exposing these vulnerabilities that have been around for years, it just shows one, the weakness of the current software that's out there and two, that AI is still making incredible progress versus legacy software companies," said Michael O'Rourke, chief market strategist at JonesTrading.
GROWTH UNDER SIEGE
The moves underscore how one of Wall Street's favorite trades has turned into a headache as AI upends the software industry.
"Whether AI spells the end of the software business is an open question. Given the unprecedented dynamism and speed of AI, we do not pretend to have the answers," said Michael Clarfeld, portfolio manager at ClearBridge Investments.
Cybersecurity firms Cloudflare, Okta, CrowdStrike and SentinelOne dropped between 4.9 per cent and 6.5 per cent.
Zscaler was among the biggest decliners on the S&P 500 on Thursday, down 8.8 per cent after brokerage BTIG downgraded the stock to "neutral" from "buy", citing concerns over demand and potential competition.
The company is trading at 31.4 times expected earnings over the next 12 months - near the bottom of its historical range - compared to a multiple of 55.4 at the beginning of the year, according to LSEG data.
Enterprise software developer Atlassian, human resources software provider Workday, Photoshop maker Adobe, enterprise cloud firm Salesforce and TurboTax-parent Intuit dropped between 3.7 per cent and 6.8 per cent.
The anxiety is also creeping into private credit as investors scrutinize lending to technology companies amid doubts over future growth.
Carlyle Group shares dipped 1.5 per cent as the company's flagship private-credit interval fund became the latest to be hit by a wave of redemptions.
In Europe, SAP Global, Capgemini and Temenos fell between 3 per cent and 7 per cent.
Source: Reuters
Newsletter
Week in Review
Subscribe to our Chief Editor’s Week in Review
Our chief editor shares analysis and picks of the week's biggest news every Saturday.
Sign up for our newsletters
Get our pick of top stories and thought-provoking articles in your inbox
Subscribe here
Get the CNA app
Stay updated with notifications for breaking news and our best stories
Download here
Get WhatsApp alerts
Join our channel for the top reads for the day on your preferred chat app
Join here
Advertisement
Also worth reading
Content is loading...
Advertisement
Expand to read the full story
Get bite-sized news via a new
cards interface. Give it a try.
Click here to return to FAST
Tap here to return to FAST
FAST
---
## Expert Analysis
### Merits
- Only a group of around 40 tech heavyweights, including Microsoft and Google, would have access to Anthropic's "Claude Mythos" model. "If Mythos is that strong and that powerful and it's exposing these vulnerabilities that have been around for years, it just shows one, the weakness of the current software that's out there and two, that AI is still making incredible progress versus legacy software companies," said Michael O'Rourke, chief market strategist at JonesTrading.
### Areas for Consideration
- Investors have dumped the sector's stocks this year on worries that AI tools that are capable of automating human tasks could pose an existential threat to the industry.
- Optimism around a U.S.-Iran ceasefire that lifted broader risk appetite kept the concerns on the sidelines on Wednesday.
- CNA Games Guess Word Crack the word, one row at a time Buzzword Create words using the given letters Mini Sudoku Tiny puzzle, mighty brain teaser Mini Crossword Small grid, big challenge Word Search Spot as many words as you can Show More Show Less Earlier this week, Anthropic launched a powerful AI model but held off on releasing it widely over concerns that it could expose hidden cybersecurity vulnerabilities.
### Implications
- Advertisement Business US software stocks slump on renewed AI disruption jitters FILE PHOTO: Anthropic logo is seen in this illustration taken May 20, 2024.
- Investors have dumped the sector's stocks this year on worries that AI tools that are capable of automating human tasks could pose an existential threat to the industry.
- CNA Games Guess Word Crack the word, one row at a time Buzzword Create words using the given letters Mini Sudoku Tiny puzzle, mighty brain teaser Mini Crossword Small grid, big challenge Word Search Spot as many words as you can Show More Show Less Earlier this week, Anthropic launched a powerful AI model but held off on releasing it widely over concerns that it could expose hidden cybersecurity vulnerabilities.
- The anxiety is also creeping into private credit as investors scrutinize lending to technology companies amid doubts over future growth.
### Expert Commentary
This article covers software, per, cent topics. Notable strengths include discussion of software. Areas of concern are also raised. Readability: Flesch-Kincaid grade 0.0. Word count: 748.
software
per
cent
fast
anthropic
cna
news
return
