Macro update
Wall Street tumbles:
US equities posted their steepest decline in more than a month, with the S&P 500 dropping 1.66% and the Nasdaq 100 falling 2.29% as losses in major artificial intelligence (AI) names dragged the market lower.
Big-tech selloff deepens:
Nvidia slid 3.6%, Tesla fell 6.6% and Broadcom dropped 4.3% as investors reassessed lofty valuations across the sector.
Rate-cut hopes dim:
Hawkish remarks from Federal Reserve (Fed) officials pushed the probability of a December rate cut toward 50%, pressuring equities, bonds and the US dollar.
Clear sector rotation:
Consumer discretionary and technology stocks led the declines, while value shares outperformed growth over the week.
Global risk-off tone:
Asian and European futures softened and Treasury yields edged higher as investors awaited delayed US economic data following the end of the shutdown.
DAX 40 is falling back
The DAX 40 index is rapidly coming off its 13 November 24,441 high and is expected to hit the 55-day simple moving average (SMA) at 23,991 and perhaps also the 23,900 region.
Minor resistance may be spotted around the 3 November high at 24,248.
