Global stocks flat as AI and rate fears hit tech
SPY•Global stocks were nearly flat as concerns about AI spending and higher interest rates weighed on technology shares. The Dow rose 1.08%, while South Korea’s KOSPI fell almost 8% and the Nikkei 225 dropped nearly 5%.
1. Technology shares pressured
Global equity markets were nearly flat as investor concerns about AI spending and higher interest rates fueled a continued selloff in technology and chip stocks. The Philadelphia Semiconductor index fell 1.7%, while the S&P 500 rose 0.27%, the Nasdaq gained 0.11% and the Dow climbed 1.08%.
2. Asia stocks slide
South Korea’s KOSPI plunged almost 8%, and Japan’s Nikkei 225 fell nearly 5%. MSCI’s broadest index of Asia-Pacific shares outside Japan dropped 3.12%, its biggest one-day decline since late July. European stocks finished up 0.38%.
3. Yields and currencies
The 10-year US Treasury yield fell 10.29 basis points to 5.087%. Futures showed a 73% probability that the Federal Reserve would hold rates at its October 28 meeting. The dollar slipped from an 18-month peak; Brent crude settled down 0.13% at $105.92 a barrel, while spot gold rose 1.38% to $4,161.82 an ounce.
