Tonight’s Highlights | US Index Futures All Lower Pre-Market – AI Doubts Hit Risk Appetite

Tuesday (Nov 18) pre-market, the three major index futures are all down. As of press time, Dow futures -0.73%, S&P 500 futures -0.50%, Nasdaq 100 futures -0.62%.

 

On individual stocks, Nvidia -1.2% pre-market, with the market remaining cautious ahead of its earnings report after the close on Wednesday. Google CEO Sundar Pichai acknowledged in a recent interview that the current AI investment wave contains “irrational elements”.

 

Home Depot, Baidu and PDD all fell more than 3% after reporting earlier in the day; crypto-related stocks under pressure, Coinbase down nearly 2%, Bitcoin briefly dropped below $90,000 during the day, wiping out all gains for the year.

 

As investors continue to seek safe-haven assets, US Treasuries are the main beneficiary, with the 10-year yield down 3 bps to 4.11%. These moves highlight ongoing market concerns over Fed rates and tech profitability.

 

Eric Bleines, fund manager at Swiss Life Private Investments in Paris: “The question is whether the selling will continue after Nvidia’s report – that will decide if the market is just catching its breath or heading for a real correction.”

 

Strategist Garrett Melson: “In the past few weeks the market’s reaction to AI has shifted sharply – from rewarding ever-growing capex to growing skepticism about further investment and future returns.”

 

European stocks trading now are broadly lower, DAX -1.44%, FTSE 100 -1.29%, CAC 40 -1.46%.

Company News  

Google CEO: If the AI bubble bursts, no company will escape unscathed  

 

In an interview released Tuesday ET, Alphabet CEO Sundar Pichai warned that if the AI bubble bursts, no company will emerge unscathed.

 

Pichai acknowledged “irrational elements” in the current AI investment wave and believes the market may be “overreacting”.

 

AMD and Eviden to power Europe’s first exascale supercomputer in France  

 

AMD and Eviden will power Europe’s first exascale supercomputer located in France, equipped with next-gen AMD EPYC CPUs and AMD Instinct MI430X GPUs, delivering over one exaflop HPL performance. Total investment €544 million.

 

GlobalFoundries acquires Singapore chipmaker Advanced Micro Foundry  

 

As part of its strategy to expand in the emerging silicon-photonics sector, US-listed GlobalFoundries has acquired Singapore-based Advanced Micro Foundry.

 

Boeing: Middle East aviation entering new growth era, regional fleet to more than double by 2044  

 

Boeing says Middle East airlines are entering a new era of growth and modernization, with the region’s fleet expected to more than double over the next 20 years.

 

Apple posts big sales jump in China in October  

 

Counterpoint Research data shows Apple delivered strong October smartphone sales in China. Driven by iPhone 17 series demand, sales surged 37% YoY, pushing market share to 25%.

 

Home Depot: Q3 same-store sales +0.2%, below expectations  

 

Home Depot Q3 net sales $41.35 bn vs est $40.97 bn; same-store sales +0.2% vs est +1.36%; adj EPS $3.74 vs est $3.84. Now guiding full-year revenue growth ~3% (previously ~2.8%).