Tech bulls and oil price bears in a tug-of-war, Meta falls against the trend
Fortune
1h ago
Ai Focus
This morning, global stock markets saw mixed movements. Most Asian markets were up, while Europe weakened as Brent crude oil prices rose to around $117 per barrel; U.S. S&P 500 and Nasdaq futures saw slight increases. Tech stocks were generally boosted by Anthropic submitting the IPO document, but after Meta announced plans to issue $95 billion in dilutive new shares to support its AI expansion plan, its stock price fell by nearly 2%.
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This morning, global stock markets saw mixed gains and losses. Asian markets performed well overall, with the exception of China's CSI 300 index, which fell by more than 1 percentage point. European markets, being highly dependent on energy imports, declined in the early session after the price of Brent crude oil rose to $117 per barrel, but then oil prices rebounded and stabilized at $116.

In the United States, the S&P 500 and Nasdaq futures rose slightly, following the gains seen in major stock indices yesterday. Tech stocks were generally boosted by the news of Anthropic submitting a IPO application, which largely alleviated market concerns that the cutting-edge laboratories of AI and the ecosystems they build might not be able to sustain operations.

Meta is a major exception: After the company announced that it would issue $95 billion in new dilutive shares to fund its AI construction plan, the stock price fell by nearly 2%.

This morning, the S&P 500 futures rose slightly by 0.07%. The index gained 0.7% on Friday.

In Europe, the Stoxx 600 index fell by 0.18% in the early session, while the UK FTSE 100 index declined by 0.77% before noon.

In Asia: South Korea's KOSPI index rose by 3.09%; Japan's Nikkei 225 index rose by 1.73%; India's Nifty 50 index rose by 0.08%; China's CSI 300 index fell by 1.32%.

Within the past 24 hours, Brent crude oil once reached $117 per barrel, and at the time of this report, it was slightly below $116.

Bitcoin fell to $79,585.

Traders ignore the positive third-quarter financial reports and instead focus on concerns that so far lack any basis.

Currently, 30% of the companies in the S&P 500 index have released their financial reports, and so far, the results have been positive. Bank of America's Savita Subramanian and Victoria Roloff stated in reports sent to clients: "78% of the companies exceeded earnings per share expectations, slightly lower than the 80% after the second week of the previous quarter, but significantly higher than the historical average level (65%) after the second week."

But despite these evidences, investors are still worried that a collapse is imminent. They stated in an email: "The market fears that today's prosperity of AI is paving the way for a bubble burst tomorrow, which could result in this sector experiencing the worst month relative to the S&P 500 since January 2025 DeepSeek."

According to a survey conducted by Morgan Stanley Wealth Management among 953 investors, 42% of traders are currently bearish. E* TRADE / Morgan Stanley Trading Director Chris Larkin stated: "As the end of the year approaches, there are quite a few headwinds at both the market and economic levels, which is enough to keep investors cautious."

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