{"id":275740,"date":"2024-06-25T09:55:03","date_gmt":"2024-06-25T09:55:03","guid":{"rendered":"https:\/\/hamslivenews.com\/?p=275740"},"modified":"2024-06-25T09:55:03","modified_gmt":"2024-06-25T09:55:03","slug":"global-markets-european-stocks-fall-as-nvidia-slump-hits-tech-sector","status":"publish","type":"post","link":"https:\/\/www.hamslive.com\/news\/2024\/06\/global-markets-european-stocks-fall-as-nvidia-slump-hits-tech-sector\/","title":{"rendered":"Global Markets \u2013 European stocks fall as Nvidia slump hits tech sector"},"content":{"rendered":"

European stocks<\/strong> saw a decline on Tuesday, influenced by a significant 7% drop<\/strong> in chipmaker Nvidia<\/strong> that impacted U.S. tech companies on Monday, reflecting market nervousness about the ongoing artificial intelligence boom<\/strong>.<\/p>\n

Market Movements:<\/h3>\n
    \n
  • STOXX 600 Index<\/strong>: Fell by 0.3% in early trading.<\/li>\n
  • STOXX Tech Index<\/strong>: Dropped by 1.5%.<\/li>\n
  • Germany\u2019s DAX Index<\/strong>: Decreased by 1.2%.<\/li>\n
  • Britain\u2019s FTSE 100<\/strong>: Remained flat.<\/li>\n
  • U.S. Markets<\/strong>: Nasdaq 100 down 1.1%, S&P 500 down 0.5%, but Dow Jones rose 0.7% as investors shifted to value sectors like energy and utilities.<\/li>\n
  • Airbus Impact<\/strong>: A weak earnings update from Airbus also contributed to the decline in European shares.<\/li>\n<\/ul>\n

    Investor Focus:<\/h3>\n
      \n
    • Nvidia’s Performance<\/strong>: Nvidia shares have seen a 13% selloff over the last three days, despite a previous surge that briefly made it the world\u2019s largest company.<\/li>\n
    • Market Sentiment<\/strong>: Derren Nathan from Hargreaves Lansdown noted that Nvidia shares have still gained 190% over the past 12 months, and the rotation into other sectors signifies investor confidence in the broader economy.<\/li>\n
    • Record Highs<\/strong>: Despite recent dips, equity indices in the U.S. and Europe remain near record highs due to optimism over AI and potential interest rate cuts.<\/li>\n<\/ul>\n

      Global Market Activity:<\/h3>\n
        \n
      • U.S. Futures<\/strong>: Remained little changed on Tuesday morning in Europe.<\/li>\n
      • Japan\u2019s Nikkei 225<\/strong>: Climbed 0.95% overnight.<\/li>\n
      • China\u2019s CSI 300<\/strong>: Fell 0.54%.<\/li>\n<\/ul>\n

        Bond and Currency Markets:<\/h3>\n
          \n
        • Bond Yields<\/strong>: The yield on the 10-year U.S. Treasury fell 1 bp to 4.24%, influenced by comments from San Francisco Fed President Mary Daly about the need for caution amid rising unemployment and inflation risks.<\/li>\n
        • Yen Pressure<\/strong>: The yen remained under pressure, trading around a two-month low of 160 to the dollar, with traders wary of potential intervention from Japanese authorities.<\/li>\n
        • Dollar Index<\/strong>: Flat at 105.47, slightly down from a two-month high on Friday.<\/li>\n<\/ul>\n

          Upcoming Events:<\/h3>\n
            \n
          • Snap Elections in France<\/strong>: Starting this weekend.<\/li>\n
          • U.S. Presidential Debate<\/strong>: Scheduled for Thursday.<\/li>\n
          • Federal Reserve\u2019s PCE Inflation Report<\/strong>: Expected on Friday, with forecasts predicting a slight decrease to 2.6% year-on-year in May from 2.7% in April.<\/li>\n<\/ul>\n

            Oil Prices:<\/h3>\n
              \n
            • Brent Futures<\/strong>: Held at $86.06 a barrel after rising to $86.23 overnight, marking the highest level since early May.<\/li>\n<\/ul>\n
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