Stocks fall as Meta dents AI optimism; French bonds under fire
SPY•Global stocks fell, with the all-world index down 0.4% and Europe’s STOXX 600 down 0.7%, as Meta’s planned non-voting stock issue revived concern over AI spending. Brent rose nearly 3% to $112 a barrel, while French 10-year yields climbed to 5.107%.
1. Stocks retreat
Global stocks fell on Thursday as technology earnings failed to ease concerns about the AI outlook. Meta’s third-quarter revenue beat expectations, but its plan to issue non-voting stock revived concerns about its capital commitments; its shares fell around 3%. A New Mexico judge also ordered Meta to pay the state a $25 billion penalty in a data privacy case.
2. Oil and bonds
Brent crude rose nearly 3% to $112 a barrel after Houthi attacks in Saudi Arabia raised concerns about wider conflict and supply disruptions. US 10-year Treasury yields fell 10 basis points to 5.05%, below French yields for the first time in 13 years. French 10-year yields rose 11 basis points to 5.107%, their highest level since 2002.
3. Other markets
The STOXX 600 fell 0.7%, while US stock futures were down between 1% and 1.7%. Tesla shares fell nearly 4% in premarket trading after the company reported earnings and cut its spending forecast ahead of a possible merger with SpaceX.
