🗓 Friday, November 14, 2025
► Europe sharply lower – AI bubble fears & UK fiscal jitters weigh heavily
European stocks tumbled across the board amid renewed fears of an AI bubble, hawkish interpreted Fed commentary, and UK fiscal uncertainty. Stoxx 600 -1.7%, DAX -1.6%, CAC 40 -1.5%, FTSE 100 -1.8%, FTSE MIB -2.1%, IBEX 35 -2.0%, SMI -1.2%. Tech was the main drag, with Infineon -5.7%, SAP -4.4%, BE Semiconductor -3.9%. The UK’s 10-year gilt yield surged to 4.52% (+8bps) after Chancellor Rachel Reeves scrapped planned income tax hikes, raising doubts over how the budget shortfall will be covered. The pound fell 0.2% to 1.315, while German Bund yields ticked up to 2.69%. Luxury and financials held slightly better: Richemont +3.6%, Allianz +1.8%. Chinese slowdown data added pressure, with fixed investment and retail sales weaker than expected. EUR/USD 1.165 (+0.2%), EUR/GBP 0.884 (+0.3%).
► Wall Street remains under pressure – rate-cut bets fade; Tech leads sell-off
US equities extended losses as markets priced out aggressive Fed easing after hawkish comments from several Fed officials. S&P 500 -0.9%, Nasdaq 100 -1.4%, Dow -0.35%. The Nasdaq logged its worst two-day stretch in over a month as Nvidia -3%, AMD -3.5%, Tesla -4.5%, Palantir -5.5% led tech declines. Applied Materials -5% fell after warning on China demand, while Warner Bros Discovery +3% gained on renewed M&A speculation. Fed rate-cut odds dropped to 50% for December, down from over 90% last month. The Cboe VIX rose above 22, signaling rising fear momentum. US 10Y 4.08% (-3bps), DXY +0.1%. As also described by SmartTrader's Robert Lindner investors remain caution and rotate defensives and overall reduced exposure to AI-linked / growth names.
► Asia lower – tech slump & weak China data hit sentiment
Asian markets followed Wall Street lower after an initial positive start as investors reacted to renewed Fed hawkishness and in strongly on soft Chinese macro data. Nikkei -1.8%, Kospi -3.8%, Hang Seng -1.9%, Shanghai -1.0%, Shenzhen -1.9%, ASX -1.4%. The Kospi saw its steepest drop in months as chip and AI stocks sold off sharply. China’s October data showed weaker investment and industrial output, adding to regional pressure. SoftBank -2.3%, TSMC -2.1%, Samsung -3.5%. The yen strengthened slightly (USD/JPY 153.97), while AUD/USD 0.652 (-0.1%) and USD/CNY 7.10 (flat). Outlier: Indian equities held firm (Nifty +0.1%) as domestic sentiment remained resilient.
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