AI — Sep 28 – Oct 2, 2026 (Wk 40): AI Stocks: Presidential Team Sells, SoftBank Investors Eye Upside, ETF Gains Traction

TL;DR — This week, a presidential investment team sold foundational AI stocks, while SoftBank investors considered AI's potential despite credit risks. An ETF focused on AI has also emerged as a notable investment vehicle, suggesting varied perspectives on the sector's current state and future.

What moved

• President Donald Trump's investment team sold up to $25 million in two foundational AI stocks in July. This action indicates a notable divestment from core AI companies by a high-profile investment group, which could be interpreted as a shift in their portfolio strategy regarding the sector. (src: [4]) [The Globe and Mail]
• SoftBank investors are looking beyond credit risks to assess the upside potential in AI. This suggests that despite potential financial vulnerabilities, the long-term growth prospects associated with AI technology are a significant focus for these investors, influencing their valuation of SoftBank's holdings and strategy. (src: [6]) [Bloomberg.com]
• An ETF focused on artificial intelligence has quietly become a prominent way to invest in the sector. The emergence of such an ETF provides retail and institutional investors with a diversified and potentially more accessible entry point into the AI theme, reflecting growing interest in broad AI exposure rather than individual stock picking. (src: [2]) [The Globe and Mail]
• Workday (WDAY) launched new AI benefits, and investors are reacting to this development. The integration of AI into established enterprise software solutions like Workday's can enhance product offerings and potentially drive customer adoption, which is a key factor in the company's financial performance and investor sentiment. (src: [11]) [Simply Wall Street]
• Gen Digital's stock is being evaluated in light of AI trust tools. The development and adoption of AI trust tools can impact the perceived value and utility of cybersecurity and digital identity companies like Gen Digital, as trust in AI systems becomes increasingly important for users and enterprises. (src: [12]) [Simply Wall Street]

The why behind the week

• The sale of foundational AI stocks by a presidential investment team (src: [4]) could reflect a strategic portfolio adjustment, possibly indicating a re-evaluation of specific AI holdings or a broader shift in investment focus. This action by a significant player can influence market sentiment, as large-scale divestments can sometimes signal concerns or a move towards other opportunities. [The Globe and Mail]
• The focus of SoftBank investors on AI upside despite credit risks (src: [6]) highlights the perceived long-term growth potential of artificial intelligence. This suggests that for some investors, the transformative capabilities and future market expansion of AI outweigh immediate financial concerns, driving investment decisions based on anticipated future value rather than current risk profiles. [Bloomberg.com]
• The rise of an AI-focused ETF (src: [2]) indicates a growing demand for diversified exposure to the artificial intelligence sector. This mechanism allows investors to gain broad access to the theme without needing to select individual stocks, which can be appealing for those seeking to mitigate company-specific risks while still participating in the overall growth of AI. [The Globe and Mail]
• The market's attention to specific AI stocks trading near record highs (src: [14]) and the performance of various AI picks (src: [5], [8]) suggests ongoing investor interest and potentially strong performance in certain segments of the AI market. This indicates that despite broader market conditions, specific AI companies are demonstrating significant momentum, which can attract further capital and attention to the sector. [Investing.com] [Investing.com] [The Globe and Mail]

📄 Filings that matter (8-Ks, straight from EDGAR)

• $GXAI — delisting / listing-standard notice [SEC filing] 2026-10-01
• $IBM — officer/director departure or appointment [SEC filing] 2026-10-01
• $LTRN — delisting / listing-standard notice [SEC filing] 2026-10-01
• $ACN — reported results (earnings 8-K) [SEC filing] 2026-10-01
• $VERI — entered a material agreement [SEC filing] 2026-10-01
• $INOD — officer/director departure or appointment [SEC filing] 2026-09-30
• $MU — reported results (earnings 8-K) [SEC filing] 2026-09-30
• $LTRN — entered a material agreement; unregistered equity sale [SEC filing] 2026-09-30

The macro backdrop

Every theme swims in this tide — judge the week’s moves against it.

📅 On the calendar — and why it matters here

• Fri Oct 2 — FOMC (Fed rate decision / minutes). the single biggest scheduled market mover — a rate surprise in either direction repriced everything, hardest on rate-sensitive names (growth, REITs, utilities, homebuilders). Watch for a surprise vs expectations — that gap, not the number itself, is what moves markets.
• Fri Oct 2 — Jobs report (payrolls + unemployment). sets the growth-vs-recession narrative — a weak number lifts recession odds (hits cyclicals, consumer, financials); a strong one can paradoxically pressure rates. Watch for a surprise vs expectations — that gap, not the number itself, is what moves markets.
• Wed Oct 14 — CPI (inflation). a hot print pushes rate-cut odds out (pressuring long-duration assets); a soft print does the reverse — one of the highest-impact releases. Watch for a surprise vs expectations — that gap, not the number itself, is what moves markets.
• Thu Oct 15 — Retail sales. the consumer's pulse — matters most to consumer/retail names. Watch for a surprise vs expectations — that gap, not the number itself, is what moves markets.
• Thu Oct 15 — PPI (wholesale inflation). wholesale inflation — an early tell on where CPI heads next. Watch for a surprise vs expectations — that gap, not the number itself, is what moves markets.

What to watch next

• The 10-year Treasury yield is at 5.29%. A high and rising Treasury yield can increase the cost of capital for AI companies, particularly those in early growth stages that rely on external financing. This can impact their ability to fund research, development, and expansion, potentially slowing growth or increasing debt burdens. (src: ["macro"]) [macro data]
• Expected inflation is 2.36%. While moderate, inflation can increase operational costs for AI companies, including talent acquisition and hardware. If inflation rises unexpectedly, it could erode profit margins, especially for companies with less pricing power. (src: ["macro"]) [macro data]
• The VIX is at 15.55. A VIX reading in this range typically indicates relatively low market volatility. For AI stocks, this can suggest a more stable investment environment, potentially encouraging long-term capital allocation rather than reactive trading, as investors perceive less immediate systemic risk. (src: ["macro"]) [macro data]
• The high-yield credit spread is 3.12%. This spread reflects the additional yield investors demand for holding riskier corporate debt. A relatively tight spread suggests that the market perceives lower credit risk for companies, which can make it easier and cheaper for AI startups and growth companies to access debt financing, a critical factor for their expansion. (src: ["macro"]) [macro data]
• The Shiller CAPE ratio is 41.07. A high Shiller CAPE ratio suggests that the broader market is trading at valuations significantly above its historical average. For AI stocks, this could imply that the sector, along with the overall market, might be susceptible to valuation corrections, as higher valuations inherently carry more risk if future earnings do not meet expectations. (src: ["macro"]) [macro data]
• The median price-to-model-value across 54 stocks in this theme is 0.93x. This indicates that, on average, stocks in the AI theme are trading below their intrinsic model-derived value. This metric can be a point of interest for investors assessing whether the sector is undervalued or if there are specific opportunities within it, assuming the model's assumptions are sound. (src: ["own"]) [SAVNG data]

This week’s headlines (sources)

• Skip the Megacaps: These 2 Under-the-Radar AI Stocks Have More Room to 10X — The Motley Fool, Oct 2
• Up 30%, Should You Buy Credo Technology Right Now? — The Motley Fool, Oct 2
• This ETF Has Quietly Become One of the Best Ways to Invest in Artificial Intelligence — The Globe and Mail, Oct 2
• Nebius vs. CoreWeave: Which Is the Better AI Stock to Own for the Next 5 Years? — The Motley Fool, Oct 2
• President Donald Trump's Investment Team Sold Up to $25 Million in 2 Foundational AI Stocks in July — The Globe and Mail, Oct 2
• +106%, +38%, +37%, see which stocks are in and out of our AI-picks for October — Investing.com, Oct 2
• SoftBank Investors Look Past Credit Risks to Gauge AI Upside — Bloomberg.com, Oct 2
• 4 Key Questions for Investors to Ask at the Start of Q4 — Morningstar, Oct 2
• Three AI picks are up 22%-106% since July, the HR stock leading them — Investing.com, Oct 2
• Here's My Top AI Stock to Buy in October — The Motley Fool, Oct 2
• Refining stocks rallied this week, one AI-picked energy name is up 10.69% — Investing.com, Oct 2
• How Investors Are Reacting To Workday (WDAY) AI Benefits Launch — Simply Wall Street, Oct 2
• Is AI Trust Tools Altering The Investment Case For Gen Digital Stock (GEN)? — Simply Wall Street, Oct 1
• 3 AI Infrastructure Stocks Retail Investors May Be Watching After Broadcom Anthropic Financing — Simply Wall Street, Oct 1
• This AI Stock Is Trading Near Record Highs. Is It Too Late to Buy? — The Globe and Mail, Oct 1
• I Think Dividend Investing Is the Single Best Strategy for New Investors — The Motley Fool, Oct 1

Every claim above cites its source — headlines link to the original outlet; [SAVNG data] marks our own EDGAR-computed figures. Where our sources don’t explain a move, we say so rather than guess. All weekly roundups →