Take Five: Tech wreck and roll
QQQ•Markets face a week of uncertainty as investors watch a technology-stock selloff, U.S. inflation data and oil prices, alongside European Central Bank leadership nominations and Chinese economic data. The Nasdaq fell 5.5% on Thursday, wiping $2.5 trillion from the index, while traders priced in more than an 80% chance of a Federal Reserve rate hike in December.
1. Tech selloff weighs
The Nasdaq’s 5.5% drop on Thursday was its biggest since April 2025 and erased $2.5 trillion in index value. The article says concerns about the cost of artificial-intelligence investment and the prospect of tougher regulation have weighed on technology stocks after Democratic midterm victories in Texas and Georgia.
2. Inflation and interest rates
U.S. consumer prices are expected to rise 0.3% in October, a Reuters poll found, with producer-price data due Friday. Traders were pricing in more than an 80% chance of a Federal Reserve rate hike at its December 8-9 meeting, which would put the federal funds rate at 4.00%-4.25%. Oil prices have fallen 18% since the U.S. midterms.
3. Global policy and data
European Union finance ministers are set to discuss candidates to replace European Central Bank President Christine Lagarde: former Dutch central bank governor Klaas Knot and Bank for International Settlements head Pablo Hernandez de Cos. The week also brings Chinese trade and lending data, a United Nations climate summit in Turkey, and uncertainty in New Zealand after an inconclusive election.
