European shares fall as tech stocks slide, Middle East tensions weigh
Technology shares fell 2% as investors questioned AI spending returns and rising Middle East tensions lifted oil prices, analysts said.
- On Tuesday, Nov 3, the pan-European Stoxx 600 index fell 0.4% to 647.13 points as technology stocks and geopolitical concerns weighed on investor sentiment.
- Technology stocks led the decline, losing 1.6%, as renewed concerns about the long-term returns on AI-related investments dampened market sentiment across Europe.
- Reports of escalating Middle East tensions further weighed on risk appetite, following US strikes on Iran's Qeshm Island in the Strait of Hormuz, a US official said.
- Bayer gained 4.4% after raising its 2026 profit forecast, while Philips rose 4.3% following a preliminary agreement with the US Department of Justice to end investigations.
- Global markets braced for US midterm elections on Tuesday, with healthcare emerging as a portfolio diversifier against AI-fuelled market volatility amid resilient corporate earnings.
28 Articles
28 Articles
European shares fall as tech stocks slide, Middle East tensions weigh
European shares declined as technology stocks led losses amid concerns over AI valuations and escalating US-Iran tensions. Rising oil prices added pressure, while stronger earnings expectations lifted healthcare stocks, with Bayer gaining 6% after raising its 2026 profit outlook.
The Paris Stock Exchange (CAC 40) was in balance this Monday morning, November 2, despite falling oil prices in the hope of a resumption of dialogue between Washington and Tehran. Investors, however, remain cautious before the US mid-term elections.
Around 09:05 (08:05 GMT), London was down 0.29% and Paris 0.16%, while Frankfurt was almost stable (-0.06%).
Starting session in slight rise for Piazza Affari. The Ftse Mib index earns 0.04% at 49.519 points. Highlights Amplifon (+3.31%), Mediolanum (+2.37%) and Lottomatics (+1.81%), weak instead Bper (-1.86%), Prysmian (-1.27%) and Stellantis (-1.17%). (ANSA). (ANSA)
Global Markets | European shares stumble at end of best month since June on AI worries
European stock markets slid as a global selloff in technology rattled investors, with the pan-European STOXX 600 index closing in negative territory. Concerns over soaring AI infrastructure costs loomed large. However, to add a silver lining, euro zone growth exceeded forecasts amid climbing inflation and borrowing costs, while firms such as Universal Music Group and Sanofi flaunted impressive earnings in these challenging times.
European equities closed today's trades on Friday on a decline, influenced by a global sales wave in the technology sector, which led to a decline in the market value of a number of major electronic chip manufacturers, thus ending the October trades on losses, despite strong monthly gains.
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