US equity-index futures rebounded from last week’s chip rout, offering some respite ahead of key earnings that may set the market’s direction amid mounting pressure on the artificial intelligence trade. Oil fell. Contracts on the Nasdaq 100 Index advanced 1.3%, while those for the S&P 500 climbed 0.8% following Friday’s selloff on Wall Street. Last week’s losses saw a closely watched semiconductor gauge post its longest run of declines since 2008, while the volatility index recorded its biggest jump since June. The MSCI Asia Pacific Index pared earlier losses to trade down 0.2%. European stock futures and French 10-year bond futures eased after widespread protests in France over the weekend. The euro weakened against most of its Group-of-10 peers, while US Treasuries rose on haven demand. Bitcoin climbed more than 2% to above $82,000.
Oil retreated from a five-month high as traders weighed flare-ups in fighting in the Middle East against signs supply from the region was holding near pre-war levels. Global crude oil benchmark Brent dropped 1.8% to $107.90 a barrel. Earnings from US megacap companies including Tesla Inc. and Meta Platforms Inc. this week will test investor confidence in the AI trade after its recent setbacks. Some investors are betting that accelerating US inflation and tremors across the AI sector will amplify swings in tech shares and spill over into the broader market. Markets are in “a classic period of heightened uncertainty,” said Kyle Rodda, a senior analyst at Capital.com in Melbourne. “Several things are colliding at the same time. AI earnings are coming up, interest-rate uncertainty is persistent and the midterms are a few weeks away.” Netflix Inc. reports Tuesday, followed by Tesla, Meta and International Business Machines Corp. the following day. Last week’s rout in chip stocks raised concerns about the AI trade after a runaway rally earlier this year. The latest selloff has taken a particular toll on CoreWeave Inc., a cloud-computing services provider that counts Nvidia Corp. as one of its biggest backers. Nvidia Chief Executive Officer Jensen Huang late last week took a sanguine view toward the rout, saying “all of this is going to pass.” He encouraged investors to look beyond near-term reports and concentrate on the long-range value of the technology. Investors are bracing for further swings across stocks and bonds as questions grow over whether massive spending on AI infrastructure will deliver sufficient returns. A measure of bond volatility also remains elevated, while persistent fuel and food inflation is adding pressure on central banks. US Treasuries are showing tentative signs of reclaiming their traditional role as a haven — threatening to wrong-foot investors who are heavily positioned for this year’s bond slump to deepen. Yield on the Treasury 10-year note slipped one basis point Monday to 5.06%. Gold opened the week higher as traders pared bets on the Federal Reserve raising interest rates this month after remarks by Chair Kevin Warsh on Friday. Bullion rose 0.4% to $4,181 an ounce. Mainland Chinese equities were steady after economic growth accelerated more than expected in the third quarter, increasing the likelihood that Beijing will meet its annual target. Indonesian stocks extended their selloff. As concerns mount across markets over the outlook for leading AI firms and the potential impact on the broader economy, US 10-year yields fell about 17 basis points last week while the Nasdaq 100 Index tumbled 5.5%.
Nikkei -0.67% Hang Seng Closed CSI +0.49% Kospi +1.44% Shanghai +0.71% Shenzen +0.37%
Eur$ 1.1231 CNH 6.6806 CNY 6.6819 JPY 158.10 GBP 1.3334 CHF 0.8243 RUB 83.4160 TRY 49.5510 WTI$ 99.92 Gold 4;183.24 +0.44% BTC 82,644 +2.18% ETH 2,426 +3.35%
S&P +0.81% Nasdaq +1.39% EuroStoxx -0.30% FTSE -0.11% Dax -0.29% SMI -0.43%
Macro :
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Keep an eye on :
- ABI BB : Anheuser-Busch InBev, the brewer of Budweiser and Michelob, is emerging as a potentially undervalued investment despite declining alcohol consumption in the US and Europe - Barron's
- ACN US : Accenture Looks to Sell China Ops at Up to $1.5b Valuation: FT
- ALO FP : Alstom Gets ~€800M First Tranche Order in Vietnam
- ALSN SW : Also 9M Revenue €12.4b Revenue, up 17% Y/y
- AMZN US : AWS CFO: AI spending is "sustainable" - Axios interview
- Anthropic IPO : Anthropic in Talks With Lawyers to Help Agents Strike Deals: FT
- MT NA : Italian Steelmaker Seeks to Double Furlough to 8,600 Workers
- ASSAB SS : Assa Abloy Sells PKI Business Unit to Vista Equity; No Terms
- BG AV : Bawag 3Q Net Income Meets Estimates
- BIG FP : Bigben Interactive : énorme perte sur l'exercice
- BA US : US Regulator Approval of Boeing’s Largest 737 Max Jet Imminent
- CTM SS : Catena Media Says It Won’t Reach 2026 Revenue, Ebitda Targets
- CLNX SM : Cellnex Weighs Tendering Convertible Bond Ahead of 2027 Put
- DHL GY : DHL AG Prelim 3Q Ebit About EU1.71B, Est. EU1.65B
- DKSH SW : DKSH to Buy NewBridge at $390m Enterprise Value
- EQT SS : EQT Agrees to Buy Australia’s Cleanaway Waste for $6.5 Billion, for A$3.095/Share Cash
- GPRO US :Declares previously issued financial statements unreliable; Plans restatements - filing
- RMS FP : Hermès Is Targeting a New Emerging Market: The American Suburbs, The French brand is analyzing Zip Code data to zero in on pockets of growing U.S. affluence -WSJ
- LSN SW : Lindt Names Weisskopf Interim CEO With Immediate Effect
- HLUNB DC : Novo’s Former CEO Fruergaard Jorgensen to Join Lundbeck Board
- MBG GY : Mercedes Goes After Porsche With High-Performance Electric SUV
- MSFT US : Microsoft Scraps UK Data Center Deal With Nscale, Telegraph Says
- BMPS IM : Paschi Top 10 Investor Goldstone Backs Intesa Takeover Bid
- MOWI NO : Mowi Prelim 3Q Harvest 186,000 Metric Tons
- NXT AU : Australian Data Center Power Delay Exposes AI Bottleneck (1)
- NOEJ GY : Norma Prelim 3Q Revenue EU207.8M
- NOVOB DC : Novo’s Former CEO Fruergaard Jorgensen to Join Lundbeck Board
- NSCALE IPO : Nscale Faces Investor Pushback Over IPO Valuation
- P911 GY : Mercedes Goes After Porsche With High-Performance Electric SUV
- RHM GY : Rheinmetall Said to Invest in Rock Tech Lithium and Smelter
- RHM GY : Rheinmetall, MSC to Buy Mangalia Shipyard in Romania
- RIO LN : Global credit manager Ares hires bankers for Rio Tinto’s $7b auction
- RUI FP : Rubis Proposes to Convert Group Into Joint-Stock Company
- SAN SM : Santander Builds AI Capabilities Using Nvidia AI Infrastructure
- SWKS US : Starboard Sees Value In Apple Chip Supplier Skyworks
- 9984 JP : SoftBank Is Said to Weigh Buying Top US Security Firm Allied
- STLA US : Stellantis Plans to Hire Hundreds More Engineers in Europe, US
- 4XO GY : Red Cat Offers to Buy Steyr Motors for €39 Per Share in Cash
- TSLA US : Tesla Holders May Find $480 a Share SpaceX Offer Compelling: RBC
- TRUE SS : Truecaller Prelim 3Q Revenue Beats Estimates
- ALVIO FP : RNAi Developer City Therapeutics Jumps 28% After Upsized US IPO
- VOW GY : VW Plans to Freeze Salaries Through 2030, Sueddeutsche Says
- WBD IM : Webuild Reaches About 29.32% of Trevi Share Capital
- ZEAL DC : Zealand Pharma's ZP9830 Tolerated in Phase 1 MAD Trial
- ZEAL DC : Zealand Pharma Says Multiple Doses of Ion Channel Blocker Safe, Well Tolerated in Phase 1 Study