Bitcoin fell to about $74,860 and ether 5.9% to $2,125 as Nvidia dropped more than 4% pre-market after its board opened an investigation into reports about CEO Jensen Huang and a suspected Chinese espionage operation. Liquidations hit $1.16B, about $500M of it in ether. The Nasdaq lost 3.4% last week, with Sandisk down 27.4% and Micron 22%. Citi cut US and tech stocks to neutral, warning the Nasdaq could fall another 5%, and upgraded European stocks to overweight. October CPI is due Tuesday with no year-over-year figure. Brent fell 3.8% to $94.56.
Only five of the top 100 coins were up 1% or more over 24 hours: ARB, RNDR, PEPE, QNT and GT. Nvidia fell more than 4% pre-market after its board opened an investigation over reports about Jensen Huang’s relationship with a suspected Chinese spy; NVDA perpetual volume on Binance jumped over 200% to above $500M. Futures volume rose over 200% to $180B, open interest fell 3% to about $127B, and liquidations reached $1.16B. Ether took about $500M, mostly longs; its open interest fell 6.7% on the 5.9% drop, funding turned negative, and it closed Sunday below its 200-day average for the first time since August 18. Bitcoin open interest fell just 0.2% on a 2.2% drop, with $305M in liquidations. One-week implied volatility rose to about 43% for bitcoin and 60% for ether; four of bitcoin’s six most active options are puts struck $70,000-$72,000. XRP fell 7.3%, payments tokens over 5%, DeFi 3.5%, memecoins 2.35%, while ARB rose over 5%.
Nasdaq Drops 3.4% in Week as AI Chip Stocks Slump; Berkshire Posts Record $9.6 Billion Buyback
For the week to November 6, the Nasdaq Composite fell 3.4%, the S&P 500 2.7%, the Dow 0.9% and the Russell 2000 2.05%, per Investor’s Business Daily. Sandisk fell 27.4% on the week and is down 64.5% from its late-June peak; Micron fell 22% and is 45% below its high. SMH lost 11.2% and IGV 5.2%. Amazon rose 7.9% on the week, Microsoft 1.7%, and Apple slipped 0.7%. US crude fell 12.8% to $90.83 on US-Iran diplomacy hopes, and the 10-year yield fell 7bps to 4.86%, a two-month low. Berkshire bought back a record $9.6B of its own shares in Q3 (previous record $9.3B in Q3 2020); operating earnings fell 6% to $12.7B, revenue rose 11% to $105.6B, and cash rose to $377.4B. All major indexes are below their 50-day averages, and IBD’s Ed Carson said one weak bounce is not enough to signal a bottom.
US CPI Seen Cooling to 0.2% After September’s 3.7% Spike as MARA and CoreWeave Report Earnings
October CPI is due Tuesday, November 10, at 13:30 UTC. FactSet economists expect +0.2% monthly and ING +0.3%, after September’s gasoline-driven 0.6%. PPI is due Friday, jobless claims Thursday (previous 189,000). Bowman speaks Tuesday; US bond markets are closed Wednesday for Veterans Day. From November 12, the EBA supervises USDC as the EU’s first significant e-money token. Earnings: MARA Monday post-market, CoreWeave Tuesday post-market, Nebius and Cisco Thursday, with CoreWeave and Nebius a test of AI compute demand.
Oil Extends Slide as Brent Drops 3.8% to $94.56 and WTI Falls to $87.72
Brent fell about 3.8% and WTI about 3.4% on November 9, following a 12.8% weekly drop in US crude on hopes for US-Iran diplomacy.
Citi Cuts US and Tech Stocks to Neutral on AI Sentiment, Upgrades European Stocks to Overweight
On November 9, Citi cut US stocks, global tech and European tech to neutral, citing weakening AI sentiment and the risk of further selling. It warned the Nasdaq could fall about another 5% before positioning turns decisively bearish. Citi stays constructive on AI over the medium term but wants steadier sentiment and earnings expectations first. It upgraded European stocks outside the UK to overweight, citing lower oil prices and less tech exposure.