01·The Lead
The AI trade cracks.
All 11 S&P 500 sectors fell on Thursday, CNBC reported.
- Nasdaq: entered a correction, more than 10% below the record it set last month.
- Big Tech: the “Magnificent Seven” megacap tech stocks lost more than $1 trillion in combined market value.
- The trigger: Democrats’ wins in Congress and key governor races raised fears that tighter rules could slow data-centre building.
- Sanders: Senator Bernie Sanders called for a national moratorium on data centres in a post on X.
- Texas: governor-elect Gina Hinojosa said, “We need to stop what we are doing with data centers until we have measures to protect Texans.”
- Trump: wrote on Truth Social that the market “suffered one of the Worst Days in History based on the results of the Election.”
02·Market Reactions
Fear rises, oil rebounds.
- Lerner: Truist Wealth’s Keith Lerner said tech selling was “feeding itself into the broader market.”
- Greene: G Squared Private Wealth’s Victoria Greene said, “The AI trade, in my opinion, is not dead here.”
- Oil: Brent recovered part of Wednesday’s fall as new tanker attacks revived supply worries.
- Fed: odds of a December Federal Reserve rate hike fell to 70.1% from 82.7% (CME FedWatch).
Thursday 5 November closes; Brent is the January contract.
28.18
VIX
+69.66%
−4.45%
Russell 2000
Thursday
5.25%
US 30-Yr
−3.1bp
$52.23
Silver
+0.22%
Equities
| S&P 500 | −4.36% | |
| Nasdaq Composite | −5.52% | |
| Stoxx 600 | −0.38% | |
| FTSE 100 | −0.43% | |
| DAX | −0.43% | |
| Nikkei 225 | −5.27% | |
| TASI (Saudi) | +0.56% | |
| ADX (Abu Dhabi) | +0.62% | |
| DFM (Dubai) | +0.03% |
Commodities
| Brent (Jan) | $98.29 | +3.88% |
| WTI (Dec) | $90.52 | +2.72% |
| Gold (Dec) | $4,113.50 | +0.99% |
Rates
| US 10-Yr | 4.84% | −5.7bp |
FX
| EUR/USD | 1.1210 | −0.44% |
Digital Assets
| Bitcoin | $76,074 | −5.47% |
03·Chart of the Day
Chips lead the fall.
US stocks · share prices · close Thu 5 Nov
Six AI names, one session.
Change in Thursday’s regular session, %.
Micron−17.46%
AMD−17.26%
Arm−13.08%
Tesla−10.77%
Broadcom−10.43%
Nvidia−9.26%
Source: Yahoo Finance closing prices, Thursday 5 Nov.
04·What Else Matters
Asia, London and jobs.
Asia
Tokyo and Seoul tumble
- Japan: the Nikkei 225 entered a bear market on Friday, more than 20% below its June peak, CNBC reported.
- Korea: the Kospi fell more than 8% at one point, triggering a trading halt; it was down 3.6% at 07:00 GST.
- Elsewhere: at 07:00 GST, TSMC was down 2.7% and SoftBank Group 9.3%.
CNBC · 6 Nov; Yahoo Finance · 6 Nov
UK
Bank of England hikes
- Rate: raised to 4%, the first increase since 2023.
- Vote: 8–1; policymaker Catherine Mann wanted 4.25%.
- Inflation: the Bank expects UK inflation to rise to about 5% by mid-2027.
Bank of England; CNBC · 5 Nov
US
Jobs report today
- Payrolls: economists polled by Dow Jones expect 59,000 jobs added in October, after 29,000 in September.
- Jobless rate: expected to hold at 4.2%; the report is due at 17:30 GST.
CNBC · 5 Nov
05·MENA Focus
Gulf firms, Hormuz flares.
- Gulf markets: most rose on bets the US election lowers the risk of a wider war with Iran, Reuters reported.
- Abu Dhabi: International Holding rose 1.9%.
- Its results: after trading, it reported third-quarter net profit of AED 6.22 billion, down from AED 8.70 billion a year earlier.
- Dubai: Emaar Properties rose 1.8% and reported a steep rise in third-quarter profit after trading.
- Hormuz: Iran said five tankers and a tugboat caught fire, mostly after striking mines, Al Jazeera reported.
- Off Qatar: British maritime agency UKMTO said a tanker was hit by two projectiles.
- Iran talks: Tehran sent the US a nuclear proposal through Qatar, a senior Iranian official told Reuters.
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