European shares retreat from record highs as AI uncertainty weighs
SPY•European shares opened lower after reaching record highs in the previous session, as uncertainty about the AI trade followed Nvidia CEO Jensen Huang's resignation. The STOXX 600 was down 0.2% at 662.64 points, while Richemont fell 7% after reporting slower sales growth.
1. Shares open lower
European shares retreated from record highs on Friday as uncertainty over the outlook for the AI trade rippled through global markets following Jensen Huang's resignation as Nvidia's CEO. The STOXX 600 was down 0.2% at 662.64 points at 0808 GMT, with personal and household goods stocks leading sector declines, down 1%.
2. Stocks and earnings
Chip stocks Siltronic and Aixtron fell more than 1% each, while Schneider Electric and Legrand were marginally lower. The broader technology sector lost 0.6%. Richemont fell 7% after reporting 13% sales growth in the three months ending in September, compared with 20% in the previous quarter.
3. Index context
Goldman Sachs raised its 12-month STOXX 600 target to 700 points from 695. The index was up more than 2% for the week, its strongest weekly gain since June, while the S&P 500 remained more than 3% below its record high.
