Caterpillar’s Worst 5 Days Since April Show AI Hype’s Pitfalls

Caterpillar Inc.’s AI-powered rally stumbled as investors questioned the sustainability of the trade across US equities, sending the stock tumbling from a record high in its worst five-day stretch since April.

The stock fell 9.6% over the five sessions ended Thursday, the weakest performance in the S&P 500 Machinery Index. It recovered some of the losses Friday morning, rising as much as 2.8%.