European Stocks Fall, Tech Stocks Down 4%
European stocks declined on Thursday, with the Euro Stoxx 50 falling 0.9% and the Stoxx 600 losing 0.4%, as heavy selling in technology shares weighed on sentiment. The European technology sector plunged more than 4%, tracking a sharp global rotation out of AI-related stocks following the Democrats’ victory in both chambers of the US Congress. Investors grew concerned that tighter regulation and increased scrutiny of US data center projects could delay infrastructure expansion and weaken demand for semiconductors. ASML Holding dropped 7%, among the biggest losers in the sector. Rheinmetall also came under significant pressure, plunging more than 16% after lowering its full-year guidance, making it one of the session’s worst performers. Meanwhile, Deutsche Telekom shed nearly 2% after announcing a €2 billion share buyback programme that fell short of market expectations.
European stocks declined on Thursday, with the Euro Stoxx 50 falling 0.9% and the Stoxx 600 losing 0.4%, as heavy selling in technology shares weighed on sentiment. The European technology sector plunged more than 4%, tracking a sharp global rotation out of AI-related stocks following the Democrats’ victory in both chambers of the US Congress. Investors grew concerned that tighter regulation and increased scrutiny of US data center projects could delay infrastructure expansion and weaken demand for semiconductors. ASML Holding dropped 7%, among the biggest losers in the sector.
Rheinmetall also came under significant pressure, plunging more than 16% after lowering its full-year guidance, making it one of the session’s worst performers. Meanwhile, Deutsche Telekom shed nearly 2% after announcing a €2 billion share buyback programme that fell short of market expectations.