European Stocks Selloff
European stocks declined sharply on Friday, with the Euro Stoxx 50 and the broader Stoxx 600 falling more than 1.5% as investors reduced exposure to riskier assets. Concerns that the US could impose tighter regulations on the AI industry following the Democrats’ decisive midterm election victory weighed on technology shares and triggered broader selling across sectors. However, technology stocks partially recovered later in the session, tracking a rebound in US markets as dip buyers emerged, with ASML Holding surging nearly 4%. Elsewhere, major companies remained under pressure, with Novartis, HSBC, Roche, Shell, AstraZeneca, SAP, Nestlé, L’Oréal and Siemens losing between 1.1% and 3.4%. Commodity markets also faced headwinds, as oil remained on course for steep weekly losses amid optimism over diplomatic efforts to de-escalate the Iran conflict and restore Middle Eastern energy flows. Gold also declined following stronger-than-expected US employment data, which supported the dollar.
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European stocks declined sharply on Friday, with the Euro Stoxx 50 and the broader Stoxx 600 falling more than 1.5% as investors reduced exposure to riskier assets. Concerns that the US could impose tighter regulations on the AI industry following the Democrats’ decisive midterm election victory weighed on technology shares and triggered broader selling across sectors. However, technology stocks partially recovered later in the session, tracking a rebound in US markets as dip buyers emerged, with ASML Holding surging nearly 4%.
Elsewhere, major companies remained under pressure, with Novartis, HSBC, Roche, Shell, AstraZeneca, SAP, Nestlé, L’Oréal and Siemens losing between 1.1% and 3.4%. Commodity markets also faced headwinds, as oil remained on course for steep weekly losses amid optimism over diplomatic efforts to de-escalate the Iran conflict and restore Middle Eastern energy flows. Gold also declined following stronger-than-expected US employment data, which supported the dollar.