Stocks slip as AI angst and US midterms keep investors wary
SPY•Global stocks fell as AI-related concerns and uncertainty over the US midterm elections weighed on investors. The S&P 500 futures fell 0.17%, while oil prices rose 1.6% to $106.47 a barrel and the US 10-year Treasury yield gained 4.3 basis points to 4.937%.
1. Stocks retreat
A fresh bout of AI anxiety pressured global stocks as voting began in US midterm elections. The S&P 500 futures fell 0.17%, and the index had declined for three consecutive sessions. The STOXX 600 was down 0.4%, while South Korea’s KOSPI and Taiwan’s index each fell 3.6%.
2. Election and tech concerns
Opinion polls showed Democrats likely to take the House, while the Senate race was too close to call. A Democratic sweep could lead to tougher oversight of AI and more corporate regulation, Alexander Lis of Social Discovery Ventures said. Big Tech earnings and steep capital spending targets have also unsettled investors. Apple forecast lower gross margins for the holiday quarter and services revenue growth below Wall Street expectations.
3. Yields and oil rise
The US 10-year Treasury yield rose 4.3 basis points to 4.937%, while the dollar index was flat at 101.84. Brent crude gained 1.6% to $106.47 a barrel after volatile trading tied to conflicting signals about a possible US-Iran deal and the war in the Middle East.
