Global equities diverged during November 2–7, 2026 as AI stocks came under pressure
📉 The S&P 500 fell 2.7%, the Nasdaq lost 3.4%, and the Dow declined 0.9%. A late-week technology rebound failed to offset earlier losses, leaving the Nasdaq with its fourth consecutive weekly decline.
🧠 Expectations of divided government after the US midterm elections initially supported sentiment, before concerns about greater scrutiny of AI infrastructure took over. Semiconductors and companies dependent on data center investment faced particular pressure, highlighting valuations’ sensitivity to growth expectations.
🌏 Selling spread to Japan, South Korea and Taiwan, where major companies play key roles in the technology supply chain. Europe proved relatively resilient, with the STOXX 600 retaining a small weekly gain despite Friday’s decline.
📊 US payrolls increased by 165,000 in October, with unemployment at 4.1%, indicating continued labor market resilience. However, the strong report also reinforced expectations of a possible Federal Reserve rate hike in December, adding pressure to growth stock valuations.
🛢️ Falling oil prices weighed on energy shares while potentially easing input costs for fuel-intensive industries. These contrasting effects show why headline index moves do not fully capture the adjustment across sectors.
🔎 US CPI on November 10 and developments in AI policy will be key points to watch. A sustained recovery across several sessions, with gains extending beyond technology, would strengthen evidence of stabilization after the selloff.
#GlobalEquities $SPCXB $TSLAB $MUB
📉 The S&P 500 fell 2.7%, the Nasdaq lost 3.4%, and the Dow declined 0.9%. A late-week technology rebound failed to offset earlier losses, leaving the Nasdaq with its fourth consecutive weekly decline.
🧠 Expectations of divided government after the US midterm elections initially supported sentiment, before concerns about greater scrutiny of AI infrastructure took over. Semiconductors and companies dependent on data center investment faced particular pressure, highlighting valuations’ sensitivity to growth expectations.
🌏 Selling spread to Japan, South Korea and Taiwan, where major companies play key roles in the technology supply chain. Europe proved relatively resilient, with the STOXX 600 retaining a small weekly gain despite Friday’s decline.
📊 US payrolls increased by 165,000 in October, with unemployment at 4.1%, indicating continued labor market resilience. However, the strong report also reinforced expectations of a possible Federal Reserve rate hike in December, adding pressure to growth stock valuations.
🛢️ Falling oil prices weighed on energy shares while potentially easing input costs for fuel-intensive industries. These contrasting effects show why headline index moves do not fully capture the adjustment across sectors.
🔎 US CPI on November 10 and developments in AI policy will be key points to watch. A sustained recovery across several sessions, with gains extending beyond technology, would strengthen evidence of stabilization after the selloff.
#GlobalEquities $SPCXB $TSLAB $MUB
