Tue 18 Nov: After the Bell🔒

Your 5’ evening market wrap 📄📈

Indices + LargeCaps + FX + Treasuries + Commodities tables on the ‘Market Data’ post.

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Good evening,

Risk-off sentiment intensified on Tuesday, with US tech stocks slipping 1.2% as major benchmarks fell for the fourth consecutive day. The S&P 500 recorded its longest losing streak since August, weighed down by AI favourites. Nvidia dropped more than 2%, while Amazon fell 4% and Microsoft slid 2%, pushing the IT and Consumer Discretionary sectors down 5% and 6.3% over the past five sessions. Volatility surged, with the VIX climbing to 24.7%, a four-week high.

Investors continue to question the lofty valuations of AI-linked stocks, particularly as firms pile up debt to fund data centre expansion. In BofA’s latest monthly survey, 45% of institutional investors cited a potential AI bubble as the top tail risk.

European markets also saw sharp declines, with bank stocks leading losses amid credit concerns and a cautious macroeconomic backdrop. In Asia, Japan and South Korea fell more than 3%, dragged lower by tech heavyweights including Samsung (-2.8%) and SoftBank (-7.5%).

Meanwhile, forex and bond markets were relatively stable, with the DXY dollar index largely unchanged and benchmark yields edging down slightly.